11.2 Capital

11.2 Capital Research Document Investment Thesis & Philosophy 11.2 Capital, named after Earth's escape velocity (11.2 km/s), is a deep-tech venture capital firm founded in 2013-2014 and based in San Francisco, California. The firm's core philosophy centers on backing technically sophisticated founding teams solving breakthrough problems in the most challenging technological domains. The firm's name reflects their mission: helping companies achieve "escape velocity" to reach the next level of technological impact and scale. The fund explicitly positions itself as an investor for technically deep founding teams who require partners capable of engaging with complex product development, R&D, and scientific challenges. Unlike most early-stage venture firms, 11.2 Capital has built a reputation for bioengineering expertise—a rare concentration among early-stage tech funds. This technical depth allows them to evaluate and support companies tackling problems at the frontier of science and engineering. Deep-Tech Focus Areas 11.2 Capital invests exclusively across interconnected deep-tech sectors: Primary Technology Verticals: Artificial Intelligence & Machine Learning - Both AI infrastructure (like Anyscale's distributed computing framework) and AI applications in specialized domains Cybersecurity & Defense - Security infrastructure, authentication, attack surface management (JupiterOne portfolio company) Quantum Computing - Quantum technology development and applications Robotics & Automation - Robotic systems, imitation learning (Covariant in portfolio), and physical automation Space Technology - New space ventures and space infrastructure Synthetic Biology & Bioengineering - Computational therapeutics, genetic engineering, biotech applications (strong focus relative to other early-stage funds) Life Sciences & Healthcare Tech - Digital health applications and biotech (multiple portfolio companies including Hinge Health) Cross-Cutting Technical Interests: Distributed systems and infrastructure (Ray/Anyscale) Cyber asset management and security Autonomous systems (formerly Cruise) Computational biology and data platforms Investment Stage & Check Size 11.2 Capital is firmly positioned as an early-stage focused investor , with the vast majority of investments in Pre-Seed and Seed rounds. Stage Distribution: Seed: 12 investments at average check size of $5.86M Series A: 9 investments at average check size of $14.2M Series B+: Selective follow-ons (less common) Typical Check Size: $500,000 - $3,000,000 Pre-Seed: $500K-$1.5M (first checks for deeply technical teams) Seed: $1.5M-$3M (for teams with prototype/MVP and initial validation) Series A: Up to $3M+ as participation or lead (when appropriate to their thesis) The fund typically backs 2-5 new companies per year, reflecting a highly selective approach. Investment frequency data from 2017-2024 shows steady 2-4 new first-time investments annually, with strategic follow-on rounds comprising additional annual deployment. Lead Tendency Strong lead tendency for early-stage rounds. 11.2 Capital leads pre-seed and seed rounds when they identify strong technical founding teams aligned with their thesis. They also participate opportunistically in Series A and later rounds for portfolio company follow-ons. Their concentrated portfolio model and deep technical due diligence suggests they maintain meaningful board/advisor influence in portfolio companies, though they take a true investor (non-board seat) approach. Co-investors frequently include Amplify Partners, Emergence Capital, Polaris Partners, and other tier-one early-stage focused VCs. Their position in the market suggests they lead rounds in their core competency areas (deep-tech, biotech, AI infrastructure) while participating in broader early-stage rounds when thesis-aligned. Recent Activity & Fund Status 11.2 Capital appears to be in active deployment phase, though with reduced pace reflecting both venture market conditions and their selective approach. Recent First-Time Investments (2024): Leen (Seed, $6.85M, co-led with Inner Loop Capital) - appears to be AI/workforce related Thea Energy (Series A, $3.73M, co-led with Prelude Ventures) - energy technology, clean energy focus Recent Follow-On Investments (2024): Noetik (Series A follow-on, $2.84M, July 2024) - Series A participation Mantle (Series C follow-on, $8.62M, July 2024) Coalesce (Series B follow-on, $1.41M, March 2024) Portfolio Company Exits (Recent): Mantle: Acquired November 2025 (Series B follow-on investment) Hinge Health: IPO May 2025 on NYSE at $792M market cap (Series A investment from July 2017) Odyssey Aviation: Acquired January 2025 Fund Status: Actively deploying with selective new deal flow. Recent activity suggests fund has capital available and is carefully deploying into thesis-aligned opportunities. No recent announcements of new fund closes, suggesting they are likely in the deployment phase of an existing fund. Portfolio Highlights & Track Record 11.2 Capital has built an impressive 56-company portfolio over 12 years with exceptional outcomes including 3 unicorns (Anyscale, JupiterOne, Forter), 3 IPOs (Hinge Health, Ginkgo Bioworks, Arbor Realty Trust), and 9 acquisitions including major exits like Mantle (November 2025), Cruise (autonomous vehicles), and Deep Genomics (AI genetic medicine). Team & Expertise 11.2 Capital operates as a lean, technically sophisticated partnership with 5 professionals. The partnership structure includes founders Shelley Zhuang, Andy Chou, David Dorsey, plus principals Jacob Smith and Pramod Gosavi. The team is distributed across Las Vegas, Palo Alto, and San Francisco, providing proximity to investor networks and entrepreneurial hubs. Decision Process & Investment Approach Decision-Making Structure: Partnership model with collaborative investment committee approach. The lean team suggests founders experience relatively streamlined decision processes with quick partner alignment. Diligence Approach: Technical deep-dive on R&D complexity and feasibility Assessment of founding team's technical depth and execution capability Evaluation of market size and potential technological impact Network and reference calls with technical advisors and domain experts Limited bureaucracy due to small team size Typical Investment Timeline: 2-4 weeks for qualified technical founders Board Involvement: The firm does not take formal board seats, instead positioning themselves as strategic technical advisors and capital partners. This allows deep engagement without governance overhead. Geographic Focus Primary Investment Geography: United States, with concentration in San Francisco Bay Area, Palo Alto, Los Angeles, NYC, and Seattle. Secondary markets include United Kingdom (2 investments) and Canada (1 investment), indicating strong US concentration with selective international exposure for exceptional companies. Founder Preferences & Investment Criteria Ideal Founder Profile: Technically deep - PhD or equivalent depth in computer science, physics, biology, engineering, or related discipline Problem-obsessed - Solving a specific technical bottleneck or breakthrough challenge Team composition - Technical founders preferred; mix of scientific/engineering expertise with business execution capability Prior track record - Founding experience, research publications, or successful technical exits valued Receptive to partnership - Willing to engage deeply with investors on technical strategy and roadmap What They Avoid: Consumer social applications Services-heavy business models Non-technical founding teams Markets without deep technical/scientific bottlenecks Applications that don't require significant R&D capability