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Tennis Australia’s VC fund aces first close with nearly $50 million from blue chip investors

- January 13, 2025 2 MIN READ
Australian Open, Rod Laver Arena
The Australian Open at Rod Laver Arena. Photo: Simon Thomsen
A who’s who of Australian investors have backed a new sports VC fund by Tennis Australia’s AO Ventures, committing around $49 million to its first close.

They include Mark Nelson from Caledonia, Tanarra’s John Wylie, Melbourne-based businessman Mark Healey, Ashok Jacob from Ellerston Capital and Robyn and Victoria Denholm’s family office, Wollemi Capital Group. International investors include VC Brad Feld and the Gnanalingam family, who own the London football club Queens Park Rangers.

AO Ventures will invest in startups focused on sport, entertainment, media and health.

The new fund follows on from the 2021 launch of TA’s syndicate VC fund, Wildcard Ventures, which has invested in early-stage tech involved in the annual AO Startups program, which runs during the Australian Open, currently underway in Melbourne.

Tennis Australia also has a partnership with US startup accelerator program Techstars, running a three-month program at Tennis Australia’s Melbourne Park HQ.

AO Ventures will invest in around 20 startups, both here and internationally, Tennis Australia CEO Craig Tiley said.

“The challenge for any early-stage company is building market credibility. Our model as a client and investor leverages the strength of our TA and AO business and brands to drive awareness, reputation and revenue for our portfolio companies, ultimately boosting returns on our investments,” he said.

“The fund is further enhanced by a unique warrant program, AO Startups, that pilots technologies across our business prior to investment.”

Tiley said the final close for the AO Ventures fund is expected soon after the grand slam concludes on January 26. The first investments are expected to be done in Q1 2025.

“AO Ventures brings together the advantages of corporate venture capital with a traditional investment fund model, uniquely offering 75% of capital to private and strategic investors, he said.

The fund’s focus will be startups addressing global issues where TA or the Australian Open can become a significant early client and provide strategic capital and access to its network. It will look for potential for investments to scale beyond tennis or sport.

The emergence of the AO as one of the world’s most innovative events, where it has spearheaded inhouse host broadcast, in addition to TA’s extensive portfolio of other events (including the United Cup and Laver Cup), offers leading startups a unique platform to grow. The involvement of strategic investors provides the startups a further important early commercialisation edge across world sport.