Benjamin Chong at Right Click Capital has penned a piece introducing Venture Debt. As far as we know, there haven’t been any venture debt deals in New Zealand yet, but one of the new Technology Incubators is a major supporter of this funding instrument, so this may change. Sometimes pitched as an alternative to venture capital/equity funding, we view it as being more complementary, especially for start-ups that might find it difficult to raise a bridging round.
The Spinoff has covered Nate Davis’s laboratory and the solar concentrators they are developing, which may revolutionise solar electricity generation by diffusing light sideways efficiently. This would allow for photovoltaic panels to be embedded in all sorts of places, like in the sides of windows with the light being distributed to the sides of the pane of glass. By significantly reducing the land cost of solar electricity generation, and also supporting distributed generation, this technology could significantly disrupt the way renewable energy is generated in the future.
Simon Yarrow has written an opinion article at the New Zealand Herald highlighting the opportunity to target the UK and Ireland with our unique agritech capabilities. Read more here: https://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=12278350
Congratulations to the winners of the University of Canterbury Entré challenge, with $85k worth of prizes awarded to a range of students and companies. Really interestingly, there are three joint grand prize winners, with some very cool ideas in the mix.
We are proud to announce that we have placed investment into PowerON Limited alongside our syndicate partners.
The IP Group plc, the University of Auckland Inventors Fund and Matū Fund have together invested in a spin-out from the Auckland Bioengineering Institute at The University of Auckland. POWERON Limited utilises the unique capabilities of dielectric elastomer technology to develop customisable, soft and flexible switches, actuators and logic capabilities for use in a variety of applications, from simple direct limit switches to distributed intelligence, lifelike soft-robotics and collaborative robots.
About IP Group plc – IP Group is a leading intellectual property commercialisation company focused on evolving great ideas from its partner universities into world-changing businesses. The Group pioneered a unique approach to developing these ideas and the resulting businesses by providing access to business building expertise, capital, scientific insight and the supporting infrastructure. In Australia and New Zealand, IP Group works in close partnership with the Go8 Universities and The University of Auckland to identify ground-breaking technologies, rooted in hard science, which have the most promising commercial potential. IP Group, which is listed on the Main Market of the London Stock Exchange under the symbol IPO, has a strong track record of success and its portfolio comprises holdings in early-stage to mature businesses across life sciences and technology. www.ipgroupplc.com
About The University of Auckland Inventors Fund – The University of Auckland Inventors Fund is an evergreen, open-ended $20 million investment fund owned and managed by Auckland UniServices Limited, the commercial company for The University of Auckland. The Inventors Fund provides seed-capital for ventures started out of the University of Auckland. www.uniservices.co.nz
About Matū Fund – Matū is a venture capital fund investing in early-stage science and technology commercialisation from education and research institutions and the private sector. As an open and evergreen fund, Matū takes a long-term investment view and is aimed at turning ground-breaking ideas into globally focused, IP-rich companies. Matū provides intelligent capital with active governance, executive management, operational support, and mentorship for founding and executive teams. www.matu.co.nz
Our portfolio company, Compliance Audit Systems, has released a video showing the current workflow of their key product ACABIM, and how it produces automated consenting reports:
Andrew Simmonds of law firm Simmonds Stewart has written an excellent summary of the Venture Capital Bill, which covers not just the details of the bill itself but also likely impacts, which funds to watch, and what VC funds will need to aim for in order to win a chunk of the pot of money available.
Read more here: https://simmondsstewart.com/blogs/venture-capital-fund-bill/
Over at the Sydney Morning Herald, Richard Dale and Adrian Bunter have written an op-ed about why companies find it difficult to secure angel investment. In short, founders are unprepared for the level of documentation and interrogation needed, and expect to secure funding faster than the angel process allows.
At Matū, we recognise that not all projects are equal and will do our best to support early-stage ventures (particularly those led by academic researchers) that may not have had any experience in capital raising. We also try to move a little faster than angel investment groups (although it doesn’t always happen). But the article provides a good summary and checklist of elements that have to be formed and produced in order to get a company through due diligence.
The Venture Capital Fund Bill has been introduced into parliament on 22 August, with a first reading upcoming. This is an important piece of legislation that will authorise the government to set up the Venture Capital Fund, which is the new name for the $300 mil Series A/early-stage market intervention. It firmly puts the control in the hands of the Minister of Finance through policy statements, and confirms that it will follow a “fund of funds” model co-investing alongside existing funds.
Congraulations to Dr. Andy West, one of our General Partners, who has been selected to join the Board of the SODA incubator in the Waikato, and has also been elected Chairperson. There is a lot of opportunity for Matū to work with founder incubators like SODA, and to help lend our expertise and connections, so we are excited to form a closer relationship.