Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


NZVIF to invest in new funds with $60m underwrite

NZVIF to invest in new funds with $60m underwrite

Media release: 27 February 2013

The New Zealand Venture Investment Fund expects to commit to two to three new venture capital funds over the next few years, following the government’s decision to provide NZVIF with a new $60 million underwrite facility.

NZVIF chief executive Franceska Banga said the underwrite is not a new allocation of capital but it provides NZVIF with additional capacity to commit to new venture capital funds.

“The underwrite facility is unlikely to be called, but it provides greater flexibility in the way that NZVIF manages the $160 million which has previously been allocated to the venture capital programme. It allows NZVIF to make commitments into new venture capital funds and then use cashflows from past investments to meet those commitments.

“The additional $60 million in the form of an underwrite of NZVIF is timely and welcome. It enables us to progress with new investment partnerships, like the recently announced cofund partnership with Taiwan’s National Development Fund. We expect to see two to three new funds beginning the capital raising process over the next three or four years which, if established, will help the flow of growth capital for startup companies.”

Since establishing NZVIF, the government has allocated $160 million of capital to the venture capital programme and $40 million for seed investments. Two years ago, it provided a $40 million underwrite to NZVIF for the programme. Together with the latest underwrite, NZVIF has capacity to make investment commitments up to $300 million. NZVIF has made investment commitments of over $200 million to date.

Eight venture capital funds and 14 angel group partnerships have so far been established. Through these, NZVIF has invested $117 million into 126 companies including promising companies like Orion Health, SLI Systems, PowerbyProxi, Booktrack, BioVittoria and Zephyr Technology which have gone on to raise total investment capital of $700 million. They have also earned revenues of $1.25 billion, including export earnings of $945 million.


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

What Winter? Temperature Records Set For June 20-22

The days around the winter soltice produced a number of notably warm tempertaures. More>>

Conservation Deal: New Kākāpō Recovery Partnership Welcomed

Conservation Minister Maggie Barry says the new kakapo recovery partnership between DOC and Meridian Energy is great news for efforts to save one of New Zealand’s most beloved birds. More>>

ALSO:

Tech Sector Report: Joyce Warns Asian Tech Investors View NZ As Hobbits And Food

Speaking in Wellington at the launch of a report showcasing the value of the technology sector to the New Zealand economy, Joyce said more had to be done to tell the country's technology stories overseas. More>>

ALSO:

Mediaglommeration: APN Gets OIO Approval For Demerger Plan

APN News & Media has received Overseas Investment Office approval for its plan to split out its NZME unit ahead of a potential merger with rival Fairfax Media's New Zealand operations. More>>

New Paper: Ninety-Day Trial Period Has No Impact On Firms' Hiring

The introduction of a 90-day trial period has had no impact on hiring by New Zealand companies although they are now in widespread use, according to researchers at Motu Economic and Public Policy Research. More>>

ALSO:

Corrections: Serco Exits Equity Stake, Remains As Operator

Serco has sold its equity stake in the company that holds the contract to design, build and run Wiri Prison in South Auckland but continues as sub-contractor to operate the facility. More>>

GDP: NZ Economy Grows Faster-Than-Forecast 0.7%

New Zealand's economy grew at a faster pace than expected in the first quarter of 2016 as construction expanded at the quickest rate in two years. The kiwi dollar jumped after the data was released. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news