North West Fund hits £50m milestone
THE North West Fund has invested £54m in more than 180 businesses since its launch two years ago.
According to the fund this investment has attracted a further £36m from private investors.
It was launched in late 2010 with £185m from the European Investment Bank and the European Regional Development Fund.
The idea was to invest the money in North West businesses by 2015 and generate another fund from the returns. In a statement the fund said it was on track with a third now invested and plans to commit a further £34m this year. But its development has not been straight forward – last year money was sent back to Europe and the senior team was replaced.
In September £15m was returned for redistribution to “more immediate projects” and a further £15m was returned in October following under-investment in the £45m Development Capital sub fund.
Former KPMG senior North West partner Malcolm Edge is now chairman and Cliff Maylor chief executive. They replaced interim chief executive John McGuire and chairman Lord Daresbury in December. Mr McGuire was drafted in after launch chief executive Andy Leach departed in July.
The North West Fund provides debt and equity packages ranging from £50,000-£2m. It is allocated into six pots, each of which has their own fund manager.
The six funds are:
£30m Development Capital Fund – now split into the North West Fund for Loans Plus, managed by FW Capital, and the North West Fund for Mezzanine, which is managed by Enterprise Ventures.
£35m Business Loan Fund, managed by FW Capital
£30m Venture Capital Fund, managed by Enterprise Ventures
£25m Biomedical Fund, to be managed by Spark Impact
£20m Energy and Environmental Fund, managed by CT Investment Partners, part of the Carbon Trust Group
£15m Digital and Creative Fund, run by AXM Venture Capital
