Breakout Ventures Closes $114M Fund III for AI-Driven Early-Stage Science and Biotech Startups

Breakout Ventures, a San Francisco-based VC firm, announced the close of its $114 million Fund III on March 10, 2026, to invest in founder-led early-stage companies using AI to advance science, biology, and chemistry.1 2 4

The fund is actively deploying capital, with three initial seed investments:
Reach Industries (agentic computer vision for regulated environments), a stealth company from University of Chicago (small-molecule discovery with computational chemistry), and another stealth company (commercial distribution of scientific innovations).1 2

Fund III received support from returning LPs like Cortes Capital, S-Cubed Capital, The Kraft Group, Pinegrove Venture Partners, LH Capital affiliate, and new LPs JIMCO and Korea Omega Investment Corporation.2 4

Breakout's prior funds include Fund I (returned capital, e.g., Cytovale's FDA-cleared AI sepsis diagnostic) and Fund II ($112.5M in 2021, led Surf Bio acquired by Halozyme for $300M+).2 3 4

The fund targets pre-seed to Series A startups amid a shift in VC away from early-stage biotechs toward derisked assets, planning around 20 investments.1 7