Announcement will mean new funding for innovative Irish companies to grow and create jobsSpeaking from Austin, Texas where he is leading a trade mission the Minister for Jobs, Enterprise and Innovation, Richard Bruton T.D. today, [Friday], announced the second investment by Enterprise Ireland under the Innovation Fund Ireland programme with Highland Capital Partners Europe. Highland Capital Partners is a premier international VC that has recently raised their first dedicated European Fund, a vehicle focused solely on growth phase technology companies. Highland Capital Partners Europe had a substantial first close in November 2012.
Today’s announcement will result in new funding being available for innovative Irish companies in the tech sector, to help them grow and create jobs.
Minister Bruton is on the third day of a four-day Enterprise Ireland trade mission to Texas seeking to support greater export growth by innovative Irish companies. While in Texas Minister Bruton is meeting a range of high-growth Irish tech companies and facilitating meetings with US companies and potential investors and venture capital funds around the South by South West technology trade show.
Enterprise Ireland has committed €10 million to the Highland Fund, alongside a commitment of €10 million by the National Pensions Reserve Fund. Enterprise Ireland has committed a further €10m to the Fund when it completes a second closing.
The fund will be establishing an office in the Irish Market in April headed by Tony Zappalà who has recently joined Highland Capital from Index Ventures.
Speaking from the Austin Minister Bruton said: “The technology sector is a key target in the Government’s Action Plan for Jobs. Since we have taken office we have seen employment growth of over 11,000 in ICT, and we are implementing a number of measures to support further growth in this sector. Venture capital funding is a key part of this. We have provided a €60million second call under Innovation Fund Ireland which will be leveraged by further private sector funds, as well as €700million domestic venture capital scheme, to help provide funding as well as strategic advice and networks, to high growth Irish companies.
“Today’s announcement that Highland Capital Partners, a leading international venture capital fund manager, is partnering with Enterprise Ireland and the NPRF to establish a fund to invest in innovative companies here, is a major boost for the Irish venture capital industry and for innovative Irish companies such those who have travelled to Texas this week.
"I am determined that, with full implementation of the Action Plan for Jobs 2013, we will see the further development of the venture capital industry in Ireland and greater dynamic growth by Irish tech companies who will help create the jobs we need”.
"I look forward to welcoming the Highland Capital team to Ireland and connecting them with our best technology companies.”
Fergal Mullen, Founding Partner at Highland Capital Europe said, “We are very excited to establish a permanent presence in the Irish market. We are deeply impressed by the quality of entrepreneurs in the Irish technology sector and are convinced that a number of world leading Irish companies will emerge in the coming decade. Our objective is to get behind these leaders with our capital, our know-how, our network, and our enthusiastic support. We hope that companies across the tech sector, even those that we do not back with our capital, will find ways to leverage our expertise and network for the benefit of the entire Irish tech sector.”
ENDS
For further information contact:
Conor Quinn, Press Advisor to Minister Bruton, Mob +353 87 3743783, conor.quinn@djei.ie
Alan Hobbs, Head of Corporate Communications, Mob +353 86 8699703, Alan.Hobbs@enterprise-ireland.com
Note to the Editors:
About Highland Capital Partners Europe
Through a dedicated pan-European growth equity technology fund, Highland Capital Partners Europe embraces Highland Capital Partners' global mission of helping great people build great companies. Highland Capital Partners was founded in 1988 and has raised over $3 billion of committed capital. Highland has backed a number of companies that have been recognised as leaders within their industry categories, including: Altiga Networks, Avid Technology, CheckFree, Conor Medsystems, eToys, lululemon athletica, Lycos, MapQuest, Ocular Networks, Qihoo 360, Quattro Wireless, Quigo Technologies, Starent Networks, Sybase, Telica, Vertica Systems and VistaPrint. For more information, visit www.hcp.com
Highland Capital Partners Europe PR representative
Sibylle Koelbl, Email: skoelbl@hcp.com
Innovation Fund Ireland
Two calls for expressions under Innovation Fund Ireland have been issued to date. The original Exchequer funding commitment, managed by EI, was €125m. VCs receiving a commitment from Enterprise Ireland shall establish a presence in Ireland to invest in Irish companies or companies with significant operations in Ireland. An equivalent amount is managed by the NPRF within their commercial mandate. This is the second announcement by Enterprise Ireland.
To date the NPRF have made four investments. To date Enterprise Ireland has approved a number of commitments (co-investments alongside the NPRF) to international venture fund managers and this is the first announcement of those commitments.
Further information can be found at www.innovationfundireland.com