AOL co-founder Steve Case and two AOL colleagues, Ted Leonsis and Donn Davis, announced Thursday that they have raised $450 million for a new venture capital fund, the Revolution growth fund. They exceeded their initial goal of raising $400 million.
The fund will focus on East Coast investments and will look for "innovative, high-growth companies that have the potential to disrupt existing business models."
The fund plans to make just ten to 12 investments ovr a five-year period so that Case, Leonsis and Davis can be closely involved with the companies they back. The fund is expected to make its first investment in early 2012.
The fund has 24 institutional limited partners, including The Hillman Company, a publicity shy early backer of investment firms Kohlberg Kravis Roberts and Kleiner Perkins Caufield & Byers.