Business Insider: Y Combinator is raising money to create a new VC fund according to forms filed with the SEC. It’s called the Y Combinator Continuity Fund I. The company declined to disclose the amount raised, and the filing indicated that the first sale has yet to occur.
Business Insider’s Jon Marino first reported that Y Combinator was looking to raise several billion dollars for a fund in March. According to sources, the fund would allegedly be used to support some of the incubator’s largest investments, although it has told potential investors it would still be looking to continue its investments on the seed level.
This appears to be the company’s first filing of this particular type, known as an SEC Form D. Y Combinator listed the fund both as a 3(c)(1), which means the fund may not be owned by more than 100 shareholders, and a 3(c)(7), which narrows the investor pool down to 499 or fewer “qualified purchasers“.
Business Insider tried calling the phone number on the form for comment, but it was disconnected. Y Combinator did not initially respond to a request for comment.