Marrying High-Tech Innovation and Midwest Manufacturing
Most venture capital firms shy away from the Midwest manufacturing and automotive industries, instead favoring high-technology regions like Silicon Valley.
Not RPM Ventures. Located less than a mile from the University of Michigan in Ann Arbor, the firm aims to bridge the divide between high-tech start-ups and major manufacturers in the Midwest.
Last week RPM, whose name comes from the unit of mechanical measurement, revolutions per minute, announced it raised $60 million for a second fund that it has already used to back 10 companies. “The biggest thing we have going for us is our strategy,” said co-founder and Managing Director Eric Weiser when asked how his firm raised a second fund in such lean times. “We have a unique strategy. We have to, we’re in the Midwest.”
RPM will invest in a start-up regardless of where it is headquartered. But the company must have a roadmap that includes selling its wares to some of the iconic corporations that have manufacturing plants in Illinois or Michigan.
