Michigan, Ohio Firms Partner to Launch 2nd VC Fund For Great Lakes Regional Investments

Amid a tough fund-raising climate in the Great Lakes region, a pair of firms in Michigan and Ohio are nevertheless optimistic enough to for a second go-around in a venture capital fund.

Ann Arbor, MI-based Plymouth Management is working with Toledo-based Rocket Ventures to establish a $40 million fund called Plymouth Venture Partners Fund II to invest in growth-stage companies in Michigan and Ohio.

It’s the second fund they’ve done together. The first one—a $24 million fund launched in 2003—also invested primarily in companies in Michigan and Ohio. It completed 29 investments, with 12 liquidity events among them and only one write-off.

An announcement (PDF) by Rocket Ventures last week said that the fund was expected to close at the end of May and a first investment would be announced shortly after that.

The folks at Plymouth Venture Partners say that the first fund was successful because they focused on investing in companies with national and international sales that were not so dependent on the local economy.

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