HOUSTON INNOVATORS PODCAST EPISODE 56

Houston-founded venture capital firm heads into second fund focused on social impact

Durg Kumar (left) and Allen Bryant, partners at Knightsgate Ventures, join the Houston Innovators Podcast to discuss their second fund. Photos courtesy

When it comes to business, creating a social impact and a profitable business strategy aren't mutually exclusive — especially nowadays — and a Houston-founded venture capital firm is striving to invest in seed-stage tech companies that check both of those boxes.

Knightsgate Ventures was founded in Houston in 2018 by Durg Kumar and has since expanded to add a New York partner, Allen Bryant, to the operation.

"For a very long time, there was a perceived trade off between social returns and financial returns," Bryant says on this week's episode of the Houston Innovators Podcast. "What we are seeing now is that's really not the case. You actually have businesses that are bringing impactful change and those businesses are propelled by that."

The VC's first fund invested in six startups — including Houston-based Voyager — and is now heading into its second fund. Kumar says the first fund's success was in part due to his network. Now heading into the second go around, Knightsgate's network has grown with the addition of Bryant.

"We're not just one local regional network; we have a national network," Kumar says. "We're not only looking to invest or raise locally — but also start getting the connection between the two ecosystems and find what Houston can learn from New York and what New York can learn from Houston."

Of course, the other difference between the two funds is that Knightsgate will be raising and investing from fund two on the heels of a pandemic. Thankfully, Kumar says, Knightsgate's portfolio companies were in a good place financially and even made strategic pivots amid the challenges.

Now, through the end of this year, Kumar says he and Bryant are helping their portfolio startups focus on the next year.

"Now's a good time to retrench and focus on building product," Kumar says, "so that in 2021 when travel restrictions ease, then you've got your refined product to go out and take it to the customers."

In the episode, Kumar and Bryant discuss each of their thoughts on Houston's growth as an innovation ecosystems from their two different perspectives.

Listen to the full interview below — or wherever you stream your podcasts — and subscribe for weekly episodes.


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Dr. Peter Hotez and Dr. Maria Elena Bottazzi have been recognized by Fast Company for their leadership in developing low-cost COVID vaccine. Photo courtesy of Texas Children's

This week, Fast Company announced its 14th annual list of Most Creative People in Business — and two notable Houstonians made the cut.

Dr. Peter Hotez and his fellow dean of the National School of Tropical Medicine at Baylor College of Medicine, Dr. Maria Elena Bottazzi, were named among the list for “open sourcing a COVID-19 Vaccine for the rest of the world.” The list, which recognizes individuals making a cultural impact via bold achievements in their field, is made up of influential leaders in business.

Hotez and Bottazzi are also co-directors for the Texas Children's Hospital's Center for Vaccine Development -one of the most cutting-edge vaccine development centers in the world. For the past two decades it has acquired an international reputation as a non-profit Product Development Partnership (PDP), advancing vaccines for poverty-related neglected tropical diseases (NTDs) and emerging infectious diseases of pandemic importance. One of their most notable achievements is the development of a vaccine technology leading to CORBEVAX, a traditional, recombinant protein-based COVID-19 vaccine.

"It's an honor to be recognized not only for our team's scientific efforts to develop and test low cost-effective vaccines for global health, but also for innovation in sustainable financing that goes beyond the traditional pharma business model," says Hotez in a statement.

The technology was created and engineered by Texas Children's Center for Vaccine Development specifically to combat the worldwide problem of vaccine access and availability. Biological E Limited (BE) developed, produced and tested CORBEVAX in India where over 60 million children have been vaccinated so far.

Earlier this year, the doctors were nominated for the 2022 Nobel Peace Prize for their research and vaccine development of the vaccine. Its low cost, ease of production and distribution, safety, and acceptance make it well suited for addressing global vaccine inequity.

"We appreciate the recognition of our efforts to begin the long road to 'decolonize' the vaccine development ecosystem and make it more equitable. We hope that CORBEVAX becomes one of a pipeline of new vaccines developed against many neglected and emerging infections that adversely affect global public health," says Bottazzi in the news release from Texas Children's.

Fast Company editors and writers research candidates for the list throughout the year, scouting every business sector, including technology, medicine, engineering, marketing, entertainment, design, and social good. You can see the complete list here

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