That is the second spherical of fundraising for the VCT in nearly precisely 12 months, having engaged in a £40m fundraising this time final 12 months.
Apollo VCT focuses on fast-growing B2B software program companies and is run by an 11 sturdy funding workforce at Octopus Ventures, led by Richard Courtroom.
The VCT invests in early-stage companies that are subsequently larger threat, however the funding group argued they nonetheless are typically extra established with present recurring revenues and have the potential for vital growth.
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Certainly, Courtroom stated that over the previous 12 months B2B software program has “proved itself to be a really resilient, strong sector, offering plentiful alternatives to put money into thrilling high-growth expertise firms”.
Up to now 12 months, the fund has made ten new additions to the portfolio, bringing the entire variety of holdings as much as 43 after it offered out of three firms final 12 months.
Trying forward, Courtroom stated that amidst the market headwinds within the first half of the 12 months the fund was in a position to ship, including that and buyers who had been prepared to tackle the VCTs larger threat had been “rewarded”.
This didn’t translate to a completely bullish outlook from Courtroom, as he stated there have been “undoubtedly some clouds on the horizon”, particularly a “difficult macroeconomic outlook”.
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He stated that in prior intervals of financial uncertainty, the expertise sector has continued to innovate and make investments and he remained assured the identical sample would proceed this time.
Certainly, Courtroom stated the Octopus workforce was nonetheless seeing a “sturdy pipeline” of “attention-grabbing expertise companies coming via”.
The supervisor added: “In 5 to 10 years, we might be speaking in regards to the companies that invested for development all through this era. With decrease entry valuations changing into the brand new regular, now’s the time for buyers to put money into these future winners.”
The minimal funding quantity for Apollo VCT is £5,000.
