Breakthrough Victoria to lose $360 million over four years as state rethinks startup funding

Government-backed startup fund Breakthrough Victoria will lose $360 million in funding over four years and pursue fewer investments each year, as the state Labor government attempts to “reprofile” its venture capital operation.

Launched in November 2020 with $2 billion in pledged funding, Breakthrough Victoria is tasked with injecting “patient capital” into growth sectors like advanced manufacturing, the green economy, and biotechnology.

It is empowered to commit anything from pre-seed investments of around $150,000, through to investments of $15 million towards mature enterprises.

Since launch, Breakthrough Victoria has deployed more than $330 million, including investments in portfolio companies RayGen, Zena Sport, and American firm World View, which received a $37 million injection last week.