Breakout Ventures has announced the close of its $114 million Fund III, marking a new phase of investment focused on science-driven startups at the intersection of biology, chemistry, and artificial intelligence.
The San Francisco-based venture firm said the new fund builds on nearly a decade of investing in early-stage companies commercializing scientific breakthroughs. Fund III received backing from returning investors including Cortes Capital, S-Cubed Capital, The Kraft Group, Pinegrove Venture Partners, and an affiliate of LH Capital, while also attracting new limited partners such as JIMCO and Korea Omega Investment Corporation.
Breakout Ventures has already begun deploying capital from Fund III, with initial seed investments targeting companies leveraging AI to unlock complex scientific challenges. The firm emphasized that advances in artificial intelligence are accelerating innovation in biology and chemistry, enabling faster development timelines and more cost-effective operations for scientific startups.
The firm highlighted strong performance across prior funds, including the return of capital to Fund I investors. Portfolio company Surf Bio was recently acquired by Halozyme for up to $400 million, while other investments such as Cytovale and Twelve demonstrate traction in areas ranging from AI-enabled diagnostics to sustainable aviation fuel.
Fund II portfolio companies have also shown momentum. Noetik has secured a $50 million upfront partnership with GSK to advance AI-driven cancer research, while Phantom Neuro is developing neural interface technology for prosthetics. ZymoChem is developing sustainable alternatives to petrochemicals and partnering with brands like Lululemon.
In addition to launching Fund III, Breakout Ventures announced the promotion of Nima Ronaghi to partner, reflecting the firm’s continued expansion and investment platform development.
KEY QUOTES:
“We’ve spent the last decade investing early in founding teams using technology to harness the power of science to architect the future. As AI is unleashed on the magnitudes of data in biology and chemistry, we are experiencing incredible speed, momentum and efficiency that’s fundamentally changing cost curves and return profiles. This new fund will build on our track record of supporting scientific founders through rigorous partnership as they navigate the complexities of moving towards commercialization.”
Lindy Fishburne, Managing Partner, Breakout Ventures
“The founders we back are doing the most valuable work in science and technology today: translating scientific innovation into companies that can scale to change our future. That takes more than capital. It takes first true believers with the expertise, the network, and the conviction to help make it real. That’s exactly what we’ve built at Breakout, and Fund III is our most ambitious chapter yet.”
Julia Moore, Managing Partner, Breakout Ventures
“Breakout’s team brings the conviction and clarity you want around the table. Insights from their experience sharpened how we position both our technology and our business model for pharma and AI leaders alike. Tapping into their curated network accelerated our momentum in real time.”
Ron Alfa, Co-Founder And CEO, Noetik
