Foresight Group (“Foresight”), a leading FTSE 250 listed private equity and infrastructure investment manager, has announced the second close of an evergreen fund dedicated to investing into growing companies throughout South West England (the “Fund”).
The Fund was initially launched with a cornerstone investment from Devon Pension Fund and has secured a further £50 million investment from Avon Pension Fund to achieve a second close at £100m.
The Fund will target smaller equity investments in established, promising companies with growth potential across South West England, including Avon, Cornwall, Devon, Dorset, Gloucestershire, Hampshire, Oxfordshire, Somerset and Wiltshire.
The Fund will help growing companies across the region to achieve their business ambitions, support the local economy, and deliver positive social outcomes by creating high-quality, local jobs. It will invest into a broad range of sectors, across the full range of transaction types including growth capital, buy-outs and equity release.
The Fund is designed to be evergreen, providing a permanent pool of capital around which SMEs can make long term plans. The Fund is flexible and will support the business community in South West England for the long term, tailoring investments to meet the needs and plans of each company.
Councillor Paul Crossley, Chair Avon Pension Fund Committee said: “There is a demand for funding for small and medium sized companies, and investment is crucial to ensure local businesses can reach their full potential. We’re very pleased to support this fund with a £50 million commitment which is Avon Pension Fund’s latest local impact initiative, following our recent successful investments into renewable energy and affordable housing in the South West. We see great potential in the businesses located across the region and we believe this Fund will support the creation of high-quality, local jobs and positively impact the local economy.”
Matt Smith, Partner at Foresight Group, commented: “We are delighted to announce we’ve reached our target in the second close of the South West Fund with support from both Devon Pension Fund and Avon Pension Fund. The additional investment from the Avon Pension Fund will allow us to invest in more ambitious growing companies across the South West.”