University of Cambridge Enterprise Fund VI has debuted under the management of Parkwalk Advisors after five earlier vehicles launched between 2013 and 2017.
Parkwalk Advisors, a fund management subsidiary of commercialisation firm IP Group, launched University of Cambridge Enterprise Fund VI on Friday in partnership with the university’s tech transfer unit, Cambridge Enterprise.
Parkwalk will manage the vehicle, with Cambridge Enterprise advising on investment opportunities. None of the investors in the fund have been named.
University of Cambridge Enterprise Funds (UCEF) gives alumni and other private investors an opportunity to back spinouts within favourable UK tax programs known as seed enterprise investment scheme and enterprise investment scheme.
Tax advantages include a minimum of 30% up-front income tax relief, certain capital gains tax deferrals and a full inheritance tax exemption after two years.
Parkwalk Advisors estimates the University of Cambridge Enterprise initiative leverages Cambridge’s original investment by a multiple of 77.
The funds have so far made more than 50 investments in Cambridge-linked companies, which have together generated more than $778m in funding after the program’s involvement.
Cambridge Enterprise Fund V was launched in the first quarter of 2017. Cambridge Enterprise Fund IV, established the preceding year currently has a gross net asset value (NAV) of 135%.
Cambridge Enterprise I, II and II have all been partially exited with gross NAVs of 200%, 285% and 162% respectively, having launched in consecutive years from 2013 until 2015.
