Electrify Video Partners, a start-up company specializing in investment partnerships, has successfully raised $85 million of funding from private equity fund Capital D. This funding will be utilized for further investments in growing YouTube channels, especially the ones creating long-form educational content.
What is Electrify Video Partners
Electrify was founded in 2021 by Ian Shepherd, Owen Maher and Justin Reize. Using their combined experience in investments and finance, it was able to build a startup business that leverages successful YouTube channels as investment vehicles. Electrify aims to help creators expand their channel through business partnerships or channel sales.
The company either acquires 50 percent to 80 percent of the business and works alongside the creator or takes 100 percent of the business and has full control of the channel. In an instance where a creator chooses the first option, the company provides the needed capital to expand the channel and secure additional sources of income. If the channel owner decides to sell the channel, Electrify pays the owner the value. It also offers a gradual transition period and assembles a team to take over the channel’s video production.
As of the moment, Electrify has invested in Veritasium, Astrum, SpitBrix, Fizzy and Improvement Pill. These five channels combined have garnered over 30 million subscribers and 10 billion views.
Capital D’s investment
The $85 million from Capital D is the first institutional equity investment for Electrify. This milestone is a reflection of company’s growing success in its partnership ventures with YouTube channels. Capital D also acquired a “significant minority stake” in Electrify. This means it will continue to work with the company to acquire more channels and expand the business.
Featured image courtesy: Electrify Video Partners