Addition is an American

venture capital Venture capital (VC) is a form of private equity financing provided by firms or funds to start-up company, startup, early-stage, and emerging companies, that have been deemed to have high growth potential or that have demonstrated high growth in ...

firm based in

New York City New York, often called New York City (NYC), is the most populous city in the United States, located at the southern tip of New York State on one of the world's largest natural harbors. The city comprises five boroughs, each coextensive w ...

that invests in early and growth-stage technology companies.

Background

In March 2019, Lee Fixel, who was the Head of

Tiger Global Management Tiger Global Management, LLC (often referred to as Tiger Global and formerly known as Tiger Technology) is an American investment firm founded by Chase Coleman III, a former Tiger Management employee under Julian Robertson, in March 2001. It ma ...

private equity Private equity (PE) is stock in a private company that does not offer stock to the general public; instead it is offered to specialized investment funds and limited partnerships that take an active role in the management and structuring of the co ...

business, announced that he would be leaving the firm after 13 years with it. Fixel had played a significant role in expanding its private investment arm with successful investments in companies including

Facebook Facebook is a social media and social networking service owned by the American technology conglomerate Meta Platforms, Meta. Created in 2004 by Mark Zuckerberg with four other Harvard College students and roommates, Eduardo Saverin, Andre ...

Spotify Spotify (; ) is a List of companies of Sweden, Swedish Music streaming service, audio streaming and media service provider founded on 23 April 2006 by Daniel Ek and Martin Lorentzon. , it is one of the largest providers of music streaming services ...

and

Uber Uber Technologies, Inc. is an American multinational transportation company that provides Ridesharing company, ride-hailing services, courier services, food delivery, and freight transport. It is headquartered in San Francisco, California, a ...

. Sources have stated that Fixel was tired of the decision-making process at Tiger Global Management where multiple partners had to approve each deal and that he would be unlikely to run the firm as the other partners were only several years older than him. In 2020, Fixel launched his firm named Addition. It is considered a Tiger Cub as it was spun out of one. In June 2020, Addition raised $1.3 billion for its first fund, Addition One Partners. A few months later, Addition raised $1.4 billion for its second fund. Fixel runs Addition as the sole partner at the top, and he will make the final decisions at the firm. It has a traditional

management fee In the investment advisory industry, a management fee is a periodic payment that is paid by an investment fund to the fund's investment adviser for investment and portfolio management services. Often, the fee covers not only investment advisory ser ...

and

carried interest Carried interest, or carry, in finance, is a share of the profits of an investment paid to the investment manager specifically in alternative investments (private equity and hedge funds). It is a performance fee, rewarding the manager for enhan ...

structure. One-third of its capital will go to early-stage investments, while the rest will go towards growth-stage investments.

Funds

Notable investments

* Chainalysis * Delhivery * dLocal *

Hugging Face Hugging Face, Inc. is a French-American company based in List of tech companies in the New York metropolitan area, New York City that develops computation tools for building applications using machine learning. It is most notable for its Transf ...

Snyk Snyk Limited is a developer-oriented cybersecurity company, specializing in securing custom developed code, open-source dependencies and cloud infrastructure. It was founded in 2015 out of Tel Aviv and London and is headquartered in Boston. Hist ...

* Zap Energy * Stripe *

Applied Intuition Applied Intuition is an American software company specializing in building artificial intelligence (AI) technologies and advanced software for vehicle manufacturers. Founded in 2017 and based in Mountain View, California, Applied Intuition devel ...

References

External links

* {{authority control Tiger Cub firms American companies established in 2019 Financial services companies established in 2019 Financial services companies based in New York City Investment companies based in New York City Venture capital firms of the United States