UTIMCO, the entity that manages the endowments of the University of Texas and Texas A&M systems, reduced its commitments to Thrive Capital's latest funds that closed last year by 31%.
Per Business Insider, UTIMCO has only transferred $6.7M to Thrive, against the initial commitment of $42M. Sources said that UTIMCO reduced its commitments due to Thrive's failed bet in the car marketplace platform Carvana.
- The New York-based venture firm led by Joshua Kushner closed early-stage and late-stage funds last year worth $500M and $2.5B, respectively.
- Thrive, which is also a registered investment advisor, held stakes in Carvana, which started trading in 2022 at $184 per share.
- By the end of 2022, shares were trading at $4, before rising to $12 per share in 2023.
- Thrive's notable bets include Instagram, Stripe, Robinhood, Spotify, Slack, and GitHub.
- Thrive is looking into a $1B additional investment into Stripe.
- UTIMCO manages $65B worth of endowments and has also reduced its commitments to Sequoia Capital and Y Combinator's funds.
- Last month, a group of billionaires invested $175M and acquired a 3.3% stake in Thrive Capital.
