NYCEDC Executive Committee Approves Sixth NYC Catalyst Fund Investment: Open Opportunity Fund

With an Authorized $4 Million for Open Opportunity Fund, NYCEDC’s Catalyst Fund has Committed Over Half of its $40 Million Impact Investing Vehicle

Launched in 2023, NYC Catalyst Fund Invests in Impact Focused Fund Managers

NEW YORK, NY—New York City Economic Development Corporation (NYCEDC) today announced its Executive Committee has approved the NYC Catalyst Fund’s (NYCCF) sixth investment, committing $4 million to Open Opportunity Fund, a venture capital firm focused on investing in software companies led by diverse founders. With today's authorization, NYCCF has deployed over half of its $40 million capital.

“Open Opportunity Fund’s work to invest in Black and Latino tech founders exemplifies the positive social and financial impact the NYC Catalyst Fund was created to support,” said Deputy Mayor for Housing, Economic Development, and Workforce Adolfo Carrión, Jr. “Congratulations to Open Opportunity Fund on their selection for this investment and to the NYCEDC team for reaching this exciting milestone of deploying over half of the $40 million NYC Catalyst Fund.”

“EDC’s NYC Catalyst Fund invests in fund managers that in turn make catalytic investments in diverse entrepreneurs and innovation sectors, with a focus on New York City,” said NYCEDC President & CEO Andrew Kimball. “Given their track record of success, we are thrilled to add the Open Opportunity Fund as our sixth fund manager partner.”

Open Opportunity Fund was selected from a variety of competitive responses based on its investment team, financial track record, commitment to New York City, and impact thesis.

Open Opportunity Fund: Open Opportunity Fund is a venture capital firm focused on investing in early-stage software companies founded by outstanding diverse founders. Open Opportunity Fund’s portfolio spans enterprise IT, artificial intelligence, fintech, and digital health sectors. Spun out of SoftBank, the firm has invested in 75 Black- and Latino-led tech companies including Atomic, Esusu, QuickNode, Squire, and Zoe. The team, led by Paul Judge and Marcelo Claure, announced Fund 2 to continue to execute the thesis.

With the $4 million commitment to Open Opportunity Fund, NYCEDC’s NYCCF has committed $24 million of $40 million available. The commitment to the Open Opportunity Fund follows five other funds that have received, or are in the process of receiving, commitments from NYCCF.

• Harlem Capital: Founded in 2015, Harlem Capital is a diversity-focused venture capital firm based in New York City that invests in companies led by diverse founders. Harlem Capital has an impact-oriented mission: to change the face of entrepreneurship by investing in 1,000 diverse founders over 20 years.
• Maycomb Capital: Founded in 2017, Maycomb Capital is a women-owned investment firm headquartered in Brooklyn. Through outcomes financing, also referred to as “pay for success” or “social impact bonds,” Maycomb provides flexible, mission-aligned debt. Their investments are designed to increase economic opportunity for low-income communities, across three impact areas of early childhood, workforce development, and health equity.
• Antler: Antler is a leader in ‘Day Zero’ investing, backing founders at the start of their company-building journey. Antler invests in select technology startups that complete its in-house residency program. By investing at the earliest stage, Antler also aims to make venture capital more accessible to a broader, more diverse range of founders.
• MetaProp: MetaProp is a New York City-based venture capital firm focused on the real estate technology industry. Founded in 2015, MetaProp’s investment team has invested in 175+ technology companies across the real estate value chain. The firm manages multiple funds that represent a pilot- and test-ready sandbox of 20+ billion square feet across every real estate asset type and global market. The firm’s investment activities are complemented by pioneering community leadership, including the PropTech Place innovation hub and MetaProp Accelerator at Columbia University programs.
• Rethink Education: Rethink Education makes early-stage investments in education technology companies. Launched in 2012, Rethink Education supports companies that use disruptive technologies to advance education in major subsectors including workforce development, corporate training, K-12, post-secondary, and continuing education. Rethink has a strong track record of investing in New York City based companies, many of which have partnerships and/or contracts with the NYC DOE and CUNY systems. Rethink Education is part of a larger purpose-driven platform, Rethink Capital Partners.

In September 2023, NYCEDC launched a Request for Proposal (RFP) for the NYCCF to solicit responses from private credit and private equity fund managers whose financial and impact investment theses align with NYCEDC’s priorities. The RFP remains open and continues to solicit responses.

The NYCCF is an impact investing program that has been initially capitalized by $40 million. The goal of the program is to expand NYCEDC’s impact as an organization by making investments that generate positive, measurable social and environmental impact as well as a financial return. With the initial allocation, NYCEDC plans to invest in approximately eight to twelve private credit and private equity funds. The NYCCF is focused on the following impact areas: inclusive entrepreneurship, community development, and high-wage, high-growth sectors such as life sciences, technology, and the green economy.

NYCEDC will finalize negotiations with each fund manager and enter into relevant agreements to formalize the commitments.

About NYCEDC
New York City Economic Development Corporation is a mission-driven, nonprofit organization that works for a vibrant, inclusive, and globally competitive economy for all New Yorkers. We take a comprehensive approach, through four main strategies: strengthen confidence in NYC as a great place to do business; grow innovative sectors with a focus on equity; build neighborhoods as places to live, learn, work, and play; and deliver sustainable infrastructure for communities and the city's future economy. To learn more about what we do, visit us on Facebook, Twitter, LinkedIn, and Instagram.