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

Tacora, a venture debt firm backed by Peter Thiel, has raised $685 million in funding. Venture debt is a growing source of financing for startups, providing an alternative to traditional equity financing. Tacora, founded in 2020, focuses on providing debt financing to early-stage technology companies. The firm's latest funding round was led by Thiel Capital, the investment firm of billionaire Peter Thiel, a co-founder of PayPal and an early investor in Facebook. The $685 million raised will allow Tacora to expand its lending activities, providing capital to startups that may not be ready for or seeking traditional venture capital. Venture debt can offer startups a way to access funding without diluting their equity. The increased importance of venture debt reflects the evolving startup financing landscape, as companies seek alternatives to traditional VC funding. Tacora's successful fundraising underscores the growing demand for this type of financing in the tech industry.