AngelList, a sort of a dating site but for start-ups only, has an additional £260 million to throw someone’s way in the United States, The Wall Street Journal reported on Monday. We’re still waiting for the official press confirmation.
The funding itself doesn’t come from AngelList, of course, but instead from CSC Global, part of the China Science and Merchants Investment Management Group (CSC Group). It alone manages more than £7.8 billion.
AngelList is a site which connects start-ups with potential investors. It is a “platform for start-ups to raise money online, recruit and apply to incubators. It was started in Jan 2010 by Babak Nivi and Naval Ravikant, who also wrote Venture Hacks.”
According to The Business Insider, start-ups are evaluated by 165 different angel investors, or “leads,” who look after a group or syndicate of other investors. “These “leads” can then decide whether to help fund the young company, and encourage other investors in their syndicate to do the same,” BI explains.
CSC will now be able to tap into the AngelList investment groups and invest into a start-up. That means the “leads” won’t have to rely only on other investors in their group to complete an investment.
AngelList cofounder Naval Ravikant told The Wall Street Journal that AngelList will release $20 million (£13 million) of CSC’s funding to early-stage US start-ups this year, raising that amount to $50 million (£32 million) in each subsequent year.
Both CSC Global and AngelList are expected to make the official announcement during the day.