The California Endowment commits $10 Million to DBL Partners

Emphasizes shift beyond traditional grant making to mission-related investing

October 4, 2011

Los Ange­les, CA and San Fran­cis­co, CA (Octo­ber 4, 2011)

The Cal­i­for­nia Endow­ment, the state’s largest, pri­vate health foun­da­tion with assets of more than $3 bil­lion, announced today the com­mit­ment of $10 mil­lion to DBL Part­ners’ sec­ond fund—the DBL Equi­ty Fund (BAEF II, L.P. or Fund II). DBL Part­ners, a pio­neer in dou­ble bot­tom line ven­ture cap­i­tal invest­ing, has invest­ed in 28 start-up com­pa­nies to date and shares The Cal­i­for­nia Endowment’s com­mit­ment to seek­ing invest­ments that can deliv­er strong finan­cial returns with pos­i­tive social, envi­ron­men­tal and region­al eco­nom­ic impact. With the addi­tion of The Cal­i­for­nia Endow­ment as a Lim­it­ed Part­ner, DBL Part­ners has raised $150.8 mil­lion for Fund II.

This col­lab­o­ra­tion brings togeth­er two lead­ers in the field of mar­ket-rate mis­sion-relat­ed invest­ing (MRI) or broad­ly referred to as impact invest­ing. The Cal­i­for­nia Endowment’s MRI allo­ca­tion of $75 mil­lion of total assets con­tributes to the foundation’s mis­sion of trans­form­ing under­served areas in Cal­i­for­nia into healthy com­mu­ni­ties through mea­sur­able employ­ment and region­al eco­nom­ic ben­e­fits. The foundation’s first mis­sion-relat­ed invest­ment was a $30 mil­lion invest­ment on the debt side to the Cal­i­for­nia Fresh Works Fund, an inno­v­a­tive healthy food financ­ing ini­tia­tive. The foundation’s $10 mil­lion mis­sion-relat­ed invest­ment to DBL Part­ners empha­sizes the organization’s long-term com­mit­ment to mis­sion invest­ing towards its goal of 2% of total assets to MRIs.

This invest­ment under­scores our com­mit­ment to an alter­na­tive mis­sion-dri­ven invest­ment strat­e­gy. We are excit­ed to be part of a grow­ing MRI move­ment in lever­ag­ing all of our resources for impact,” said Kath­lyn Mead, Exec­u­tive Vice Pres­i­dent & Chief Oper­at­ing Offi­cer of the Cal­i­for­nia Endow­ment. “Our part­ner­ship with DBL Part­ners con­tin­ues the imple­men­ta­tion of our MRI strat­e­gy that fol­lows a rig­or­ous invest­ment dis­ci­pline yield­ing both mar­ket-rate returns with sig­nif­i­cant social impact.”

DBL Part­ners “dou­ble bot­tom line” approach invests for impact at scale. The firm invests in inno­v­a­tive high-growth com­pa­nies across sec­tors with com­pet­i­tive busi­ness mod­els such as Oak­land-based com­pa­nies Rev­o­lu­tion Foods and Eco­log­ic that cre­ate high-qual­i­ty entry-lev­el jobs and improve the health and vital­i­ty of the region­al neigh­bor­hoods in which they operate.

We are grat­i­fied to earn the sup­port of The Cal­i­for­nia Endow­ment as a Lim­it­ed Part­ner in Fund II and con­tin­ue our work invest­ing in inno­v­a­tive high-growth com­pa­nies that have pos­i­tive impact and help build healthy, vibrant, com­mu­ni­ties,” said Nan­cy E. Pfund, Man­ag­ing Part­ner at DBL Partners.

The Cal­i­for­nia Endow­ment and DBL Part­ners have a long his­to­ry of work­ing togeth­er and we look for­ward to con­tin­u­ing our efforts to help scale The Cal­i­for­nia Endowment’s pro­gram­mat­ic goals,” said Cyn­thia Ringo, Man­ag­ing Part­ner at DBL Partners.

About The California Endowment

The Cal­i­for­nia Endow­ment is a pri­vate, statewide health foun­da­tion, which was estab­lished in 1996 to expand access to afford­able, qual­i­ty health care for under­served indi­vid­u­als and com­mu­ni­ties, and to pro­mote fun­da­men­tal improve­ments in the health sta­tus of all Cal­i­for­ni­ans. Head­quar­tered in down­town Los Ange­les, The Endow­ment has region­al offices in Sacra­men­to, Oak­land, Fres­no and San Diego, with pro­gram staff work­ing through­out the state. The Endow­ment chal­lenges the con­ven­tion­al wis­dom that med­ical set­tings and indi­vid­ual choic­es are sole­ly respon­si­ble for peo­ple’s health. The Endow­ment believes that health hap­pens in neigh­bor­hoods, schools, and with pre­ven­tion. For more infor­ma­tion, vis­it The Endowment’s home­page at www​.cal​en​dow​.org.

About DBL Partners

DBL Part­ners is a pio­neer of dou­ble bot­tom line ven­ture cap­i­tal, a new and grow­ing field of invest­ing that seeks to opti­mize both finan­cial return (First Bot­tom Line) and pos­i­tive social impact, includ­ing envi­ron­men­tal and region­al eco­nom­ic ben­e­fits (Sec­ond Bot­tom Line). Based in San Fran­cis­co, the firm focus­es on clean­tech, IT, health care and sus­tain­abil­i­ty com­pa­nies in the west­ern Unit­ed States. The firm’s port­fo­lio com­pa­nies, which include Bright­Source Ener­gy, Eco­log­ic, eMe­ter, Live­scribe, Pan­do­ra Media (NYSE: P), Rev­o­lu­tion Foods, SolarCi­ty, Tes­la Motors (NASDAQ: TSLA) and oth­ers have cre­at­ed more than 5,000 jobs. More infor­ma­tion about DBL Part­ners is avail­able at www​.dblpart​ners​.vc.

For more information:

Jeff Okey
The Cal­i­for­nia Endowment
For more information:

Lisa Hager­man
DBL Partners

Chris­tine Hinton
521 Communications