Lansdowne Partners, a UK-based investment manager, has launched a $150 million fund to back spinouts emerging from British universities.
The fund has a cap of $200 million, though strong investor interest is said to be exceeding this. Lansdowne plans to close the fund by December.
The British Business Bank, Aviva Investors, and Lloyds Banking Group are already among the limited partners, as are Lansdowne investors and internal partners’ capital.
The new fund will seek out opportunities in areas including healthcare data, quantum computing, natural resources, advanced materials, semiconductors, and defence, as well as complementary sectors where secure supply chains and domestic capability are becoming increasingly important.
“We are incredibly excited to be working alongside such a strong group of institutional partners on this initiative. The UK has at least as much intellectual property per capita as any country in the world. Yet too often the companies built around those ideas struggle to access the capital needed to scale globally.
“By backing a concentrated set of exceptional businesses with substantial capital and disciplined strategic guidance, we aim to help them realise their potential to be global leaders and drive domestic economic growth while delivering strong returns for our investors.”
Peter Davies, partner and head of developed markets at Lansdowne Partners
This is not Lansdowne’s first foray into spinout funding. The firm is also an investor in multiple university-aligned funds, including Oxford Science Enterprises, IP Group, Cambridge Innovation Capital, and Northern Gritstone.
Lansdowne has also invested directly in spinouts, with six of these having achieved unicorn status thus far.
