Light Street Capital

Light Street Capital, founded in 2010 by Glen Kacher, is a prominent Palo Alto-based investment firm known for its distinctive "crossover" strategy, investing across both public and private equity markets. While primarily recognized as a hedge fund employing long/short equity strategies, the firm has a significant and active private investment arm. This dual approach allows Light Street Capital to leverage insights from public market valuations and trends to inform its private investments, and vice versa, particularly within the fast-evolving technology and media sectors.

The firm's private equity activities are heavily concentrated on growth-stage companies, typically participating in later-stage funding rounds rather than early-stage seed or Series A investments. Light Street Capital seeks out innovative companies with proven business models and substantial growth potential, often those nearing a public market debut or demonstrating strong market leadership. Their portfolio reflects a strong bias towards software, internet, and digital media companies, aligning with their deep expertise in these technology-driven domains.

Light Street Capital's substantial assets under management, reported to be around $3.5 billion as of recent estimates, enable them to deploy significant capital into their private investments. For their typical first cheque into a private company, the firm generally targets a range from approximately $10 million, for meaningful minority stakes, up to $75 million or more for larger growth equity rounds. This considerable check size underscores their commitment to supporting well-established, high-growth companies that require substantial capital to scale operations, expand market reach, or prepare for liquidity events.

As a sophisticated crossover investor, Light Street Capital offers portfolio companies not just capital, but also strategic insights derived from their extensive public market analysis and network. Their presence in a funding round often signals strong validation, particularly for tech and media companies aiming for long-term growth and eventual public market success.