Donatella Callegaris

HETI RIPORT #UK #impact_investments Impact investments managed in the UK reached £76.8bn at the end of 2023, a 33.3% increase on 2020 figures, according to a study published yesterday by the Impact Investing Institute. The report, entitled The UK impact investing market – Size, scope and potential, was produced through a market survey and engagement with more than 100 stakeholders, estimates the amount of direct impact investments for which the majority of investment management activities occurs from the UK (the capital managed may be invested outside of the UK). It shows an increase of £19.2bn compared with the end of 2020, when the first iteration of the report estimated the size of the market at £57.6bn.

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📣 We’ve got a big ESG_VC event planned for Tuesday next week – featuring the latest updates to our measurement framework, news of our 2025 benchmarking with the British Private Equity & Venture Capital Association (BVCA), and an introduction to our new platform partners… 📣 On the afternoon of Tuesday 26 November, we’ll be gathering 200+ VCs for the latest update on the ESG_VC Measurement Framework – from what it covers to how it informs industry-leading research, and how you can now work with our accredited data collection partners. This will be our first event delivered in partnership with our cohort of platform partners: Apiday, Novata, and PortF. I’m excited to share with our members how these partners can support a big step up in your ESG initiatives. Join us for a jam-packed event that will feature: 🟢 An update from Suzi Gillespie of the BVCA on how you can take part in our 2025 research – we analysed ESG performance in c.600 VC-backed companies in 2024 and we’re looking to deliver an even more ambitious piece of research next year… 🟢 Insights from Emily Havers of Fidelity International Strategic Ventures on the updates that have been made to the framework and what it means for our members, their portfolio companies, and the broader ecosystem. 🟢 Perspectives from Emily Matthews of Oxford Science Enterprises and Nina Foote of Volution on how the ESG_VC Measurement Framework has supported their work on ESG. 🟢 Presentations from our platform partners: Edouard Audi of Apiday, Conor O'Laoire’Laoire of Novata, and Alex Lu of PortF. It’s going to be a good one so do register. Link to sign up in the comments! #ESG_VC #sustainability #venturecapital

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"Funding Collapse sends investment in start-ups to six year low" The Times today covering the shocking stats that VenturePath uncovered, with our partner Beauhurst. Great quotes from supporters Michael Moore CEO, BVCA and Julian David CEO, techUK. * UK VC funding at Series A is -44% from last year, and worsening * Q3 24 is down a staggering 57% from Q2, itself down from Q1 * 9 in 10 seed funded startups cannot access Series A VC funding, the next 'rung on the funding ladder' * Just 32 future scaleup companies across the whole of the UK were able to access their first VC funding round in Q3...a 6 year low * Half a billion less capital is going in to UK scaleups at Series A, than just 2 years ago! As the UK scaleup funding gap widens, we are losing ground against other countries, at both startup stage (a position the UK worked hard to achieve, since 2011), and for scaleup support. OECD data: 13th in the world for scaleup support, and that's before Series A funding access dried up. I get that its confusing. Another report (BBB, Nations & Regions) released this week spoke of positive trends in private investment, stating "The data for Q2 2024 shows that investment value has continued to grow". Great, I love to see optimistic data. But under analysis that bundles venture with private equity (later stage), where a few megadeals skew the numbers. Otherwise the exact opposite is true. Our independent research here, for the UK ScaleUp Investment Mission, is laser beam focussed on Series A. The funding round where companies move from the c.1m startups launched each year, through the 2,179 that access seed funding, into the rarefied category of being recognised as future scaleups, attracting Series A funding (£2-10m). The UK venture landscape is currently funding just 248 pa of these companies, and declining. We've been sharing this urgent call for support with the new Government since the day after the election. I've personally met with several Ministers, and spoke to all the relevant Government departments. I will shamelessly repeat loudly what is at stake. UK scaleup funding at Series A has nearly halved in a year, and continues to decline steeply, more than halving in the last quarter. VenturePath developed The UK ScaleUp Investment Mission to convene the scaleup support ecosystem and £7bn of funders to help address this problem, to improve nationwide access to VC investment, and create more venture-backed successes. We have clear support, clear recommendations to reverse this decline in UK scaleup investment, and have made a clear ask of Government for participation in this, to ensure immediate action is taken to create the conditions for success for UK scaleups, ensuring the focus on growth isn't undermined by lack of capital, or equitable access to it. Government decision makers, we'd love your interest, to progress to action. HM Treasury: Rt Hon Rachel Reeves Spencer Livermore James Murray & CC Poppy Gustafsson (welcome to the debate).

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Very much looking forward to joining the discussion and sharing the importance of embedded finance within our products. Embedded finance has the potential to revolutionise customer experience across a number of verticals, offering unparalleled convenience to keep up with evolving consumer expectations. #FTTEmFin #FintechTalents #embeddedfinance

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A few reflections on last week's Budget, from me, and a bunch of our fabulous FieldHouse Associates' clients. https://lnkd.in/exrefrpt #tech #innovation #investment #venturecapital #startups #scaleups #regulation #government #PR #publicaffairs #consultancy

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I couldn’t be prouder to be a Venture Partner at Isomer Capital (aka the best European FoF - at least for me) as we just announced the launch of our pioneering £100m secondaries fund. This fund is dedicated to acquiring stakes from LPs in various VC funds, tapping into a massive and largely unexplored market. 🌟 Key Highlights: - Focused Investment: Primarily targeting stakes in VC funds, with selective investments in private companies. - Robust Funding: Already over 20% funded, thanks to strong support from Nordic family offices and a German foundation. - Market Potential: With a growing number of private tech companies and a VC liquidity crunch, Europe's VC secondaries market is poised for rapid growth. - Track Record: This isn’t Isomer’s first foray into the secondaries market. As a firm we’ve done several secondaries deals with portfolio companies and VC firms, including early-stage VC Seedcamp (in 2021) and mobility giant Bolt (in 2023). - Expert Team: Welcoming the amazing Omolade (Rachel) A., formerly of Coller Capital, as a principal to lead this initiative. 💡 Investment Strategy: - 65-75% of the fund will buy "LP interest" stakes in VC funds. - 15-25% will be directed towards stakes in companies. - Up to 15% reserved for flexible investment opportunities. 📈 Looking Ahead: We're targeting returns of 2-3x, with significant distributions expected in the next 4-7 years. As one of the few players in this space, we're not just participating in the market—we're driving it forward. Read all about it here: https://lnkd.in/dc7sbC3G #VentureCapital #SecondariesFund #EuropeanVC

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Scale-up business guide to getting investor-ready: THE FINANCIALS (2/7) Before approaching investors, you need to get your management accounts and everything associated with how you make money and spend money in order. This article explains the essentials of your business’ financials. #Business #investorready #financials

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A HUGE thank you to everyone involved in publishing the latest report from ESG_VC and the British Private Equity & Venture Capital Association (BVCA) today! The report is packed full of useful insights into how start-ups are actually performing across their work on environmental, social, and governance issues. There's also a brand new roadmap for ESG in start-ups with specific guidance on the initiatives to implement from Pre-Seed through to Series C and beyond. A particular shout out to everyone involved in the production including Suzi Gillespie and Ewa Skornas at the BVCA, David Strong and Dianne Skurray at Marriott Harrison, and Susannah Philipson and Nadeem Muzaffar at Seven Hills, who designed this beautiful report. I'm also massively grateful for all of the hard work that our VC contributors put into compiling data from 587 portfolio companies across the UK, Europe, and around the world - a few names to mention include Ashleigh, Shanice, Lauren, Laure, Michelle, Jason, Hessel, Emily, Beth, Joe, James, Eugenia, Alex, Grace, Emma, Emily, Lucy, Cordelia, Nina, Raj, and Rob. Thank you to you all! And thanks as ever to the remaining members of our steering group for their ongoing support of ESG_VC - Antonia at Seedcamp, Leslie at Astanor Ventures, Natalie at Lakestar, Andrew at Par Equity, and of course Karen McCormick for all of your support at Beringea! Check out the full report via the link in the comments! And let us know what you think about it! #ESG_VC #sustainability #venturecapital

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#orion #Sweetwater_Royalties Orion Resource Partners, a global investment firm specialising in metals and materials, has sold an 8% minority interest in Sweetwater Royalties, a private industrial minerals royalty company, to a Canadian pension fund for $100m. The transaction implies an approximately $1.9bn enterprise value for 100% of Sweetwater Royalties, with Orion retaining a 67% majority ownership share in the asset, having sold a 25% stake to Ontario Teachers’ Pension Plan in March 2023 for approximately $220m. https://lnkd.in/gkKMP3Tr

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The British Private Equity & Venture Capital Association (BVCA) Accelerate conference 21 - 22 May is ground zero for the UK and Europe’s smartest investors and founders. With #VentureCapital money harder to find than Taylor Swift concert tickets, #venturedebt is having a moment! My panel on Day 2 moderated by Leon de Bono is a can’t-miss. We’ll unpack how founders can sensibly leverage debt to extend their runway and ease the path to an exit or next round. The seasoned investors joining me (Stephen Fahy & Stephanie Heller (Galantine) have deployed serious capital into some of Europe's biggest scale-ups. Whether you're a founder preparing to raise your next round or an investor, you need this VC alternative in your mental model. See you there. www.bvca.co.uk/accelerate #Fundraising #Venturedebt #venturecapital #acelerate2024 Fuse Capital BAFTA 195 Piccadilly

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Climate Hack, at UEA no less. For those not in the know, UEA was the first University in the world to carry out climate research and remains the foremost academic institution advancing knowledge in climate change. #climatechange #climate #hackathon #innovation

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Recent M&A market performance is showing significant signs of recovery from the lows of H2 2023, with the growth in PE and PE-backed deals leading the charge.

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UK Cleantech VC panel takeaways Oh the joy of hosting a panel with the experience and gravitas to speak unequivocally! Great job, Avent Bezuidenhoudt, Rowan Bird, Sarah Mackintosh We focused on the UK’s strengths (which don’t need repeating) and some ideas for improvement, which really do. What does UK cleantech need? - UK policy stability (maybe years, not months) - policy credibility - dialogue between policy and climate tech: collaboration beats distrust - policy priority on outcomes - continued financial innovation, especially around hardware, manufacturing, working capital, FOAK - blended finance that crowds in, not crowds out - more targeted collaboration from industry (pilot projects are a mixed blessing) - better relations with Europe To achieve our (government mandated) obligation to net zero, cleantech VC is not asking for stimuli or subsidies, but for government consistency. It’s Kafka-esque, yet an extraordinary statement of strength. #venturecapital, #cleantech, Rishi Sunak, Liz Truss, Cleantech for UK, Solar Energy UK, BGF, Department for Energy Security and Net Zero

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The British Business Bank produced a great report last week on the performance of UK VC funds (link in comments) over the last 20+ years. As with all reports like this, it's really important to dig into the detail and not just rely on the headlines. In particular, I was keen to compare the performance of the best UK funds to those in the US. While accepting the limitations of the data (all performance data on VC is based on a very low sample size), it's still interesting to see how the UK funds in the BBB report compare to the Cambridge Associates US VC benchmarks. As you can see from the chart below, the top quartile benchmark for UK funds exceeded the US funds for the period 2002-2007. But the sample size for UK funds in this period is particularly low (eg just five funds for the 2004/05 period). Since 2008, the top quartile UK funds have underperformed the US benchmark, and since 2010 are much closer to the US median return than the upper quartile. There are some outstanding founders and companies in the UK and some strong-performing VC funds. But the reality of VC is that performance is driven by a small number of outlier investments. Without these, it's almost impossible to deliver 3x net returns to LPs. For the UK to really become competitive with the US, we need to see more UK-based companies able to scale and exit at valuations in excess of $5bn. Unfortunately, there are no easy solutions to achieving this. We consistently hear from our VC managers that there is no shortage of capital for the best UK companies. Where there is a shortage is in the number of world-class founders looking to build in the UK. Get this right and the capital (and returns) will follow.

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Starmer and Labour’s so-called “Investment Summit” demonstrate their total lack of strategy and understanding of what it will take to make the UK economy grow. Deregulating for BlackRock and Goldman Sachs to operate more easily is a low-priority item. What’s needed is to quickly enact policies that actively support a culture of risk-taking and reward those who are willing to leave the corporate world, government, or NGO jobs to build companies that will change the world. The growth solution will be organic and from inside the country not from some “mythical” other place who decides to bestow upon the British some quick and easy solution. Keir Starmer vows to ‘rip up’ bureaucracy to aid growth at investment summit

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What to Include in a Data Room for Investors? — Advice From VC Fund GP https://buff.ly/4eEUahI Investors look for comprehensive data rooms to make informed decisions. A well-organized data room should include financial statements, legal documents, market analysis, and growth projections. Providing detailed information on past performance and future strategies is crucial. Additionally, incorporating visual aids like charts and graphs can enhance understanding. According to a study by PwC, data rooms with thorough documentation increase investor confidence by 40%. Ensuring the data room is secure and easily accessible is also essential. #InvestorRelations #DueDiligence

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A masterclass in private markets. A guest who has seen it all joined the latest Alt Goes Mainstream podcast. We welcomed HgT Chairman of the Board Jim Strang to the show and school was in session. Jim is a deeply experienced private equity professional who has been part of the industry as a GP, LP, investor, consultant, and now a teacher, board member, and advisor to a number of firms, including most recently as MD & Chairman EMEA Hamilton Lane and now as an advisor to CVC Capital Partners, Bain & Company, Pictet Group Alternative Advisors. Jim and I had a fascinating conversation about the evolution of private markets and what the future holds for large and small funds alike, as well as LPs. We discussed: * The step function changes that take private markets from $15T to $30T of AUM. * Why traditional asset managers may struggle to replicate the capabilities of alternative asset managers in private markets. * The importance of partnerships having a clear ambition and alignment if they want to build a scaled platform. * The challenges that managers in the middle face as large platforms and specialist managers are the differentiated firms in the eyes of LPs. * Why GPs need to find innovative solutions to address the needs of different types of investors. * Why building a strong brand is crucial to success in the wealth channel. Thanks Jim for sharing your wisdom and experience on private markets. We also welcome our new sponsor to Alt Goes Mainstream. We are thrilled to announce Ultimus Fund Solutions as podcast sponsor. This episode is brought to you by Ultimus Fund Solutions, a leading full-service fund administrator for asset managers in private and public markets. As private markets continue to move into the mainstream, the industry requires infrastructure solutions that help funds and investors keep pace. To assist with these challenging opportunities, more and more fund sponsors and asset managers are turning to Ultimus, a leading service provider that blends high tech and high touch in unique and customized fund administration and middle office solutions for a diverse and growing universe of over 450 clients and 1,800 funds, representing $500 billion assets under administration, all handled by a team of over 1,000 professionals. https://lnkd.in/eJ_enGzQ

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Key insights and trends shaping US & UK venture deals

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