5% increase in investment into Irish companies last year via Seed and Venture Capital programme
16 July 2015
The Enterprise Ireland Seed and Venture Capital Programme 2014 report shows a continued upward trend in the level and value of activity by venture capital funds supported under Enterprise Ireland Seed and Venture Capital Programmes.
In 2014, these funds made 156 investments with an investment value of €62 million into 97 Irish-based companies. This level of investment represents an increase of €3 million on the €59 million invested into 94 Irish companies in 2013 under the scheme.
The overall capital under management through Enterprise Ireland’s Seed and Venture Capital Programme (2007-2012) has now reached more than €700 million. Cumulatively over the lifetime of this scheme, 50 per cent has been invested in the software sector and 35 per cent in the life sciences sector, which closely reflects the sectors covered in Enterprise Ireland’s High Potential Start-Up cohort.
A separate economic analysis shows that Irish companies in receipt of investment under this programme employed more than 2,100 people in Ireland at the end of last year. These companies recorded turnover of €257 million of which €160 million were exports.
Minister for Jobs, Enterprise and Innovation Richard Bruton said: “Venture capital funds provide critical funding, mentoring and access to networks to fast-growing companies and expanding established businesses. That is why we established the new €700 million Seed and Venture Capital Scheme 2013-2018, a significant achievement at a time of constrained budgets.
“Enterprise Ireland client companies delivered exports of €18.6 billion and added more than 19,000 jobs in 2014 and venture-backed companies contributed to these impressive results. The value of investments in Irish companies increased by five per cent to €62 million, and the number of Irish companies increased to 97. If we can ensure that our seed and venture capital schemes continue to perform strongly over the coming years this will make a major contribution towards creating the jobs we need.”
The report is available at: www.enterprise-ireland.com/svc2014
Highlights for Enterprise Ireland funding activities of the past 12 months include:
- In 2014 the total amount of funding available to Irish entrepreneurs increased by €24 million. This €24 million includes the new Hoxton Ventures Fund 1 (Ireland) (€5 million) and the increased fund size of Frontline Ventures Fund 1 from €20 million to €39 million;
- In 2014 these funds made investments with an investment value of €62 million in 97 Irish-based companies;
- Enterprise Ireland has also committed €99.5 million to a number of venture capital funds under the Seed and Venture Capital Scheme 2013-2018. A number of these funds are currently fundraising and will target investment in the wider information and communications technologies and life sciences sectors of the economy. Two of these funds have completed their first closings with a combined fund size of approximately €190 million which includes a commitment from Enterprise Ireland of €30 million;
- Enterprise Ireland has made a total commitment of €75 million to three fund managers under the Development Capital Scheme, MML Growth Capital Partners Ireland, BDO Development Capital Fund and the Carlyle Cardinal Ireland Fund in 2013/2014. This will significantly increase the availability of funding for Irish growth SMEs over the coming years.