Rubin raises $242 mln fund to go with new Playground hardware incubator


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Yesterday the news surfaced that Android co-founder Andy Rubin had raised $48 million for his new hardware incubator, called Playground, and that he would spend at least a day a week as a venture partner at Redpoint Ventures researching and vetting potential investments.

Now it seems Rubin will manage his own fund, as well. Rubin’s Playground Ventures raised $242 million toward a $300 million venture fund, according to a regulatory filing with the SEC. Managing directors include Rubin, Peter Barrett, Matt Hershenson and Bruce Leak, the document discloses.

The news throws more light on Rubin’s intended activities. In explaining his incubator to The Wall Street Journal, Rubin said he didn’t plan to invest in startups, but would take equity stakes in exchange for support with distribution, manufacturing, cloud integration and finding financing. The incubator is financially backed by Redpoint, Google (Rubin’s former employer after it bought Android), Hewlett-Packard and Hon Hai Precision Industry.

The SEC document noting the $48 million investment for the hardware incubator show that its managing directors are the same ones managing the fund.

Now it seems Rubin has the firepower to make equity investments, whether in Playground companies or outside companies. What’s revealing is that the Playground Ventures fund was put together from just five LPs, which suggests some of the backers of the incubator may be backers of the fund.

This story first appeared in affiliate magazine Venture Capital Journal, which is published by Buyouts Insider. Subscribers can read the full story by clicking here. To subscribe to VCJ, click here for the Marketplace.

Photo courtesy of Shutterstock. 

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