Braveheart Investment Group, the AIM-listed specialist in growth capital investments, is to participate in a £50m Business Angel Co-Investment Fund (CoFund) to be established under the new Regional Growth Fund (RGF).
Braveheart was one of five private sector participants which submitted a proposal to the RGF in January of this year, following close collaboration with Capital for Enterprise Ltd (CfEL). The CoFund is expected to closely mirror the structure of the Scottish Co-investment Fund which Braveheart helped set up in 2003, and pioneered as one of the first private sector partners.
The Scottish model draws investment from public sector bodies, private syndicates and wealthy individuals, generating funding for the development of innovative young firms.
The precise structure of the new fund has yet to be finalised; however Geoffrey Thomson, chief executive of Braveheart, says the principles will be exactly the same as those which underpin the Scottish scheme.
Thomson said he expects the new Business Angel scheme to be open for business within three months, and added:"The Scottish Co-investment Fund provided a very important boost to the angel community when it was introduced in 2003. Whilst, at £50m this new fund is relatively modest in size, I expect it will have a strongly positive impact on the English market and we are absolutely delighted that the Regional Growth Fund has seen fit to make such an award.
“We look forward to working with CfEL to make this fund a success thereby generating economic activity that will create employment and wealth for current and future generations in those areas of the UK that most need them."