Investec launches new fund
Specialist global investment bank, Investec has launched the Investec Emerging Companies Fund 1 (IEC Fund), which will offer investors exposure to emerging companies sector.
The fund would seek to raise $50 to $70 million to invest in emerging and high-growth companies valued between $10 million and $200 million.
Additionally, the fund would aim to provide $1 million and $5 million of growth capital to individual high-growth companies in exchange for a minority interest, partnering with entrepreneurs across a range of sectors.
The IEC Fund would be managed by David Phillips and Hein Vogel with investment committee members including Cliff Rosenberg, Garry Hounsell and Ben Sebel.
The fund, in which Investec would remain the largest investor, would target high net worth individuals (HNWIs), family offices and like-minded investors.
“IEC was established to offer a single point of contact for founders and their early-stage companies looking to access capital, advisory services, or general corporate connectivity,” Phillips said.
“Investec’s experience and broader connectivity, as well as our international reach, can make all the difference to a company at that stage of its lifecycle, and often this can be just as important as the capital we provide.”
Vogel said that as Investec itself was founded as a group of entrepreneurs, that spirit was still engrained globally in the company’s culture.
“It is this heritage that gives us a unique understanding of the needs of emerging companies and their entrepreneurial founders,” Vogel said.
“We are selective about who we partner with and offer bespoke solutions to each of our clients, spanning across capital, advice, and connectivity.”
IEC currently holds 13 companies in its portfolio including ICM Airport Technics, Dresden Optics, MadeComfy, Splend, PulseID and PropelAir. It has also partnered with H@ Ventures, a fintech accelerator business.
AUTHOR
Oksana Patron
Recommended for you
Bennelong Funds Management chief executive John Burke has told Money Management that the firm is seeking to invest in boutiques in two specific asset classes as it identifies gaps in its product range.
Responsible investment performance concerns have lessened as the market hits $1.6 trillion in AUM, according to RIAA’s annual report, but greenwashing fears among asset managers are on the rise.
Research by Morningstar has found fixed income funds are bucking a general trend around managed fund fee dispersion with a smaller fee dispersion compared to equity ones.
As investors seek to diversify their portfolios, the naming of bond labels has broadened out to include green, social and impact bonds, according to the annual RIAA report.
