ACCELERATE BLUE FUND 2025 ANNUAL REPORT

Table of Contents

Welcome Letter

Fund Activity & Investment Update

Stats and Facts: Fund and Portfolio Performance

AB Fund Leadership

Michigan University Innovation Capital Fund

Accelerate Blue Foundry

Portfolio Companies

Dear colleagues,

At the University of Michigan, our commitment to advancing innovation extends well beyond the laboratory. The Accelerate Blue Fund plays a critical role in translating research discoveries into new companies, new solutions and real economic impact. We are pleased to share the 2025 Accelerate Blue Fund Annual Report, which captures another exceptional year of progress supporting U-M startups and strengthening Michigan’s innovation ecosystem. 2025 was a year of meaningful growth for the Accelerate Blue Fund. With $10.6 million in new support from the Michigan Innovation Fund, along with continued donor commitments, the Fund’s assets have grown to over $27 million. This expanded capacity allows us to invest in more of Michigan’s most promising university research-born companies working at the leading edge of biotechnology, artificial intelligence, advanced materials, mobility and more. Since its inception, the Accelerate Blue Fund has invested in 42 startups and deployed $10.63 million in early-stage capital. The results are strong: portfolio companies have raised $444 million in follow-on investment, creating 420 jobs, including 272 in Michigan. Behind these outcomes are stories of entrepreneurial grit, faculty ingenuity and the critical partnerships that make early-stage success possible. This year also marked the launch of the Accelerate Blue Foundry, which expands the reach of the Fund by connecting entrepreneurs with some of the most promising innovations emerging from U-M research. Since its inaugural Pitch Day in May 2025, the Foundry has helped support the formation of eight startups, with many more expected in 2026. Our team’s role in supporting university innovation goes beyond U-M. In 2024, Innovation Partnerships and the Michigan Economic Development Corporation launched the Michigan University Innovation Capital Fund (MUICF), a pre-seed venture fund dedicated to Michigan startups licensing technologies from one of the state’s 15 public universities. Since its launch, MUICF has invested more than $3.69 million across 21 portfolio companies, helping scale university discoveries statewide. Looking ahead, we are focused on increasing both the pace and scale of our investments, expanding founder support and deepening partnerships that help Michigan startups grow faster and stay rooted here. Donor support is essential to this mission, enabling us to step in early, take informed risks and provide the first institutional capital that helps promising startups reach critical milestones and attract follow-on investment and strategic partnerships. Our progress would not be possible without the vision and generosity of our donors, and the thoughtful leadership of the Fund’s Strategic Advisory Board and the Innovation Partnerships National Advisory Board. We are especially grateful to Rob Bronstein, who increased his cumulative commitment to $1 million in 2025, creating a new level of philanthropic support that we are proud to call the Leadership Circle. This milestone carries special meaning for our team, as Rob was the first  philanthropic contribution that brought Accelerate Blue to life. His early belief in what we were building made the Fund possible, and his continued support over the years has helped fuel its growth and momentum. We also want to share a heartfelt thank you to our Michigan Innovation Fund partners, the Michigan Strategic Fund, the Michigan Economic Development Corporation, InvestDetroit, Ann Arbor SPARK, Michigan State University Research Foundation, Western Michigan University Biosciences Research and Commercialization Center and the Michigan Venture Capital Association. By supporting the development of U-M’s research discoveries, you and our partners are helping build a stronger entrepreneurial ecosystem and a brighter economic future for Michigan. As we work toward our goal of growing the Fund to at least $50 million, we invite you to continue partnering with us through your networks, advocacy and engagement. Thank you for helping move Michigan innovation forward. We encourage you to explore this report and see how your support is translating research into real-world solutions and economic opportunity.

With Gratitude,