Peter Thiel-Backed Venture Debt Firm Tacora Raises $685 Million

Billionaire venture capitalists Peter Thiel, Marc Andreessen and Joe Lonsdale are joining a group of investors putting $685 million into Tacora Capital, a little known firm that lends money to startups.

Tacora’s latest investment, which also included backers like endowments and pension funds, brings the firm’s assets under management to about $1.4 billion, it said.

The money will be used to make loans of about $20 million to $30 million to startups in industries including finance and insurance, said Chief Executive Officer Keri Findley. The firm is part of a growing category of venture debt, an alternative for startups that want to raise money ...