Eleven venture capital firms with local offices invested over $78.7 million in Orange County companies during 2025, according to Business Journal research.
This year’s list includes VC firms in OC handling investments ranging from $50,000 to $75 million, listed alphabetically.
“The venture ecosystem is recalibrating,” Nikki Arora of the newly merged CerraCap Impact Venture Capital told the Business Journal. “Success today is defined by margin discipline, sector specialization, and deep operational support. So, the firms that provide more than just capital—specifically those with established corporate networks and strategic customer access—will dominate this cycle.”
Partner and Chief Financial Officer Garrett Hamontree at Visionary Ventures said that the funding and IPO environment has been challenging since higher interest rates in 2022, but it is improving. Any new investments tend to be later stage assets, according to Hamontree.
“At the end of 2025 and early 2026, we are starting to see the IPO window crack open with new public offerings in both medical device and biotech that are performing well,” he explained. “This positive momentum should lead to a favorable capital raising environment for VC firms.”
Hamontree added that with the amount of investment dollars going towards AI and machine learning startups, there is opportunity in other industries for VC firms with capital to deploy.
Investments in 2025
Okapi Venture Capital in Newport Beach reported the largest dollar amount with more than $58.7 million invested in existing portfolio companies last year, a 15% increase from $51 million in 2024.
This includes businesses such as Chargezoom, Xpolls and KredosAI.
Two years prior, Okapi reported only $4.7 million worth of local investments. The firm reported $147 million funds under management as of February, up 8.9% from a year ago.
Visionary Ventures contributed $4 million in 2025 to Pelage, a regenerative medicine company. This was in addition to the $1.6 million the Newport Beach firm invested in 2024.
“The company is developing a novel regenerative medicine approach to address the multibillion-dollar alopecia/hair loss market opportunity that has not seen a new FDA approved product since Rogaine and Propecia hit the market in 1988 and 1997,” CFO Hamontree said.
Pelage, which was originally seeded by Allergan then spun out with former VP Daniel Gil as CEO, has generated strong clinical data and recently raised $120 million in financing for phase III trials, according to Hamontree.
“The combination of leveraging the local talent in aesthetics with strong clinical data addressing a large market with demand for a next generation product is what attracted us and many other investors to Pelage,” he said.
Visionary has $190 million funds under management as of last month, a 5.6% increase from a year ago.
Newport Beach’s Ankona Capital reported an investment of $3 million in AroborXR last year.
AroborXR, which develops a management platform for extended reality (XR) and virtual reality (VR) devices, has offices in Newport Beach and Oklahoma City. This is the second OC company the firm has invested in.
“Ankona has been deploying capital at a steady pace,” Managing Director Newth Morris said.
He added that the current exit environment for VC firms is “seeing signs of life” after a few years of suppression. Ankona had its first exit in 2025 with the sale of Rivet Health and anticipates other exits this year.
“Recently, VC money has been funneled toward core AI companies at lofty valuations,” Morris told the Business Journal. “We are seeing great opportunities to invest in companies that are taking the AI innovations and developing tools that end-users can gain value from.”
Ankona currently has $420 million funds under management.
Toba Capital, also a Newport Beach firm, reported $10 million in OC investments in 2025, down from the $17 million invested in 2024. The VC firm reported three deals in OC last year.
Newly Merged VC
Last December, CerraCap Ventures in Costa Mesa and Impact Venture Capital merged into a new entity known as CerraCap Impact Venture Capital (CIVC).
The move “represents more than a consolidation of firms—it is the integration of complementary strengths to create a global, institutionally positioned venture platform,” General Partner Arora said.
The newly combined firm has $300 million funds under management as of February.
“In a year defined by slower fundraising cycles and LP liquidity constraints, we pivoted toward platform resilience. The CIVC merger was our proactive response to market headwinds, allowing us to maintain disciplined capital pacing while scaling our global footprint,” Arora said.
Before the merger, CerraCap injected $3 million into local businesses and made three deals in OC last year. This included Enginius.ai, Space Kinetic and Syntiant in a secondary position.
“We have reallocated capital toward high-conviction sectors: Defense Tech, AI Infrastructure, and Dual-Use Innovation,” Arora said.
Following the merger, the firm launched a $250 million Fund IV that will focus on these sectors.
“We are prioritizing companies with validated revenue traction and demonstrated maturity,” she added.
