Sigma Capital Group plc - Frontier IP Group plc; launch and first closing of second university IP investment fund
16 Sep 2009
Sigma, the specialist asset management and advisory group, is pleased to report that its Plus-quoted subsidiary, Frontier IP Group Plc ("Frontier IP"), has today announced the launch and First Closing of the second dedicated venture fund for investment in university partner spin-out companies.
The new fund has been created to support the commercialisation of intellectual property developed by the University of Dundee and is called University of Dundee Venture Fund LP ("the Dundee Fund" or "the Fund"). At the same time, the Dundee Fund has secured partnership status with Scottish Enterprise's Scottish Co-investment Fund. This makes a total of up to GBP1.5m potentially available to spin-out companies from University of Dundee.
The Dundee Fund launches with committed funds at First Closing of GBP0.75 million. Frontier IP and University of Dundee are the first investors in the Fund with Frontier IP committing GBP500,000 to the Fund through its subsidiary, Frontier IP Investments Limited, and the University of Dundee committing GBP250,000. Scottish Co-Investment Fund partnership status enables the Scottish Co-investment Fund to invest alongside the Dundee Fund in individual university spin-out companies, matching, subject to other criteria, pound-for-pound the investment made by the Fund.
In addition, the Dundee Fund can remain open to new investors for a further two years.
The University of Dundee is one of the UK's leading universities with an international reputation for excellence across a range of disciplines including engineering, medical and life sciences. The Fund will offer investment and support to commercial opportunities generated at the University of Dundee and has the first right to fund any spin-out company from the university's colleges and schools.
Initially, Sigma's subsidiary, Sigma Technology Management Limited ("STM"), will act as manager of the Fund, as part of the services management agreement between STM and Frontier IP Limited, a Frontier IP subsidiary. However, it is intended that Frontier IP Limited will assume the management of the Fund once it has received approval to do so from the Financial Services Authority.
Graham Barnet, Chief Executive Officer of
Sigma, commented, "I am delighted to report that our
subsidiary, Frontier IP, continues to make progress on its strategy
of establishing dedicated venture funds for its university
partners. The University of Dundee has established an excellent
track record in research and spin-out opportunities and this Fund,
along with the commitment from Scottish Enterprise's Co-Investment
Fund, will strengthen the university's ability to develop
innovative ideas into attractive commercial
entities."
For further information please
contact:
Sigma Capital Group
plc
T: 0131 220 9444
Graham Barnet, Chief
Executive
Biddicks
T: 020 7448 1000
Katie Tzouliadis/ Sophie
Lane
Arbuthnot
Securities
T: 020 7012 2000
Tom Griffiths/ Neil
Kirton
About Sigma Capital Group
plc
www.sigmatech.co.uk
Sigma Capital Group plc is an AIM quoted UK based specialist asset
management group. The company has two subsidiaries investing in
companies developing technologies relating to clean energy and
energy efficiency, and investment property in the UK. Its
third subsidiary, Frontier IP Group plc, which specialises in the
commercialisation of Intellectual Property from universities and
research institutions, is traded separately on the PLUS-quoted
market.
About Frontier IP Group plc
www.frontierip.co.uk
Based in Edinburgh, Frontier IP specialises in the
commercialisation of the intellectual property developed by
universities and research institutions. It establishes partnerships
with individual universities and research institutions to assist
with their spin-out activities and so helps to maximise the
commercial value of technologies emerging from their research
programmes. Frontier IP is traded on the PLUS-quoted market and is
a subsidiary of asset management group Sigma Capital Group plc.
About the University of
Dundee
www.dundee.ac.uk
The University of Dundee is one of the UK's leading universities
with an international reputation for excellence across a range of
disciplines including science, medicine, engineering and art. This
global international reputation for research excellence includes
the
medical and life sciences - both rated 5* in the most recent
Research Assessment Exercise. Significant growth over the past
decade means the University can now boast 18,000 students, 3,000
staff, and an annual turnover of GBP160m. Today 70 % of students
graduate into the professions - more than any other university in
Scotland. The University has a strong track record of
commercialisation including the creation of a portfolio of 24
spin-out companies to exploit its intellectual property.
About Scottish Enterprise
Scottish
Enterprise is Scotland's main enterprise, innovation and investment
agency and is focused on supporting business growth and developing
a competitive business environment. Working in partnership
with industry, academia and the public sector, SE aims to play its
part in delivering the Scottish Government's new economic strategy
to increase productivity in Scotland by helping businesses grow,
encouraging greater innovation and creating the right conditions
for companies to access property, markets and finance. Further
information can be found at
www.scottish-enterprise.com.
Scottish Enterprise has a joined up investment approach which
offers risk capital investment for Scottish businesses at various
stages of growth. The Scottish Seed Fund provides equity and,
in some cases, loan investments from GBP20,000 to GBP100,000 to
early-stage businesses that meet the criteria and are keen to
grow. The Scottish Co-investment Fund is a GBP72 million
equity investment fund established by Scottish Enterprise, and
partly funded by the European Regional Development Fund, to invest
from GBP100,000 to GBP1 million in company finance deals of up to
GBP2 million. The Scottish Venture Fund was set up by
Scottish Enterprise in conjunction with the Scottish Government to
invest GBP500,000 to GBP2 million in company finance deals of
between GBP2 million and GBP10 million. Further information
can be found at
www.scottish-enterprise.com/equity.
