The former chairman of the British Venture Capital Association (BVCA) has been selected to run the £125m North East ‘super fund’, which received Treasury approval last week.
Robert Drummond will head up a team of established financiers as chairman of the advisory board on the JEREMIE (joint European resources for micro to medium enterprises initiative) fund.
The £125m venture capital fund brings together investment from the regional development agency (RDA) One North East, the European Union and the European Investment Bank to invest in start-ups, technology firms and small, growing businesses in the region.
The team will appoint a number of VC firms in the area who will act as fund managers, investing the money into up to 850 small to medium-sized businesses in the North East of England through smaller funds. Any returns made will be reinvested.
Malcolm Page, One North East deputy chief executive, commented: “I’m delighted we have been able to appoint such a talented and experienced board to oversee this important fund and their knowledge will prove vital in ensuring that the region gets the maximum benefits from the investments made.”
The fund, due to launch early next year, is the first of three ‘super funds’ proposed by RDAs in the North of England.
“The new JEREMIE project heralds a challenging and exciting new era for venture capital in the region,” said Drummond.
“In the last few years we have seen the North East flower with new enterprise and industry and I have no doubt that there are many great small businesses which will put these new funds to good use.”
© Crimson Business Ltd. 2009