In an effort to concentrate on assisting younger entrepreneurs, Y Combinator announced that it had let go of 17 employees of its late-stage investing team.
Late-stage funding has allegedly turned into a diversion from Y Combinator’s “primary objective,” according to the company’s president and CEO, Garry Tan.
Tan mentioned the startup accelerator in a blog post, but he did not specify how much less late-stage financing would occur.
With around 30% of Y Combinator’s portfolio exposed to Silicon Valley Bank (SVB), this news coincides with SVB’s demise. Tan was the petition’s leader a few days ago, urging the US Congress to take action in response to the SVB collapse.
The Information first reported Y Combinator’s withdrawal, stating that the partners behind the VC firm’s fund for more established startups were about to quit.
Via its accelerator program, which accepted 33 Southeast Asian firms into the winter 2022 cohort, Y Combinator has been expanding its presence in the area.
