Growth investor VGC Partners closes £50m fund
Growth capital investor VGC Partners has closed its second fund at £50m following the success of its debut fund which was anchored by Facebook co-founder Eduardo Saverin.
The new fund will target UK-based consumer, media and technology companies, and make investments of between £2m to £5m for minority stakes in high growth firms.
Read more: VC fund run by former Facebook and Deliveroo employees raises $85m
VGC Partners was supported by a £30m commitment from the British Business Bank and additional funds were secured from private investors and high-net worth individuals.
VGC Partners founder and managing partner Parminder Basran said: “For a number of years, growth capital has been underserved by investors in the UL.
“The most notable funding gap is in the £2m to £5m bracket, where companies have insufficient capital to fully execute their growth strategies.
“We will be targeting businesses that have a clear track to profitability but are not quite ready for private equity investment.”
Read more: Funding (on the) agender
Facebook co-founder Eduardo Saverin anchored VGC Partners' $40m maiden fund, following the firm's launch in London in 2011.
The firm has invested in Metropolis London, a music studio and publishing business, and talent management company 10 Ten, which has managed footballers Pele and David Beckham.