Tax efficient investment manager Deepbridge Capital has exceeded GBP200 million of funds deployed across its EIS and Estate Planning Service funds, with a current NAV in excess of GBP250 million.
Founded in 2010, Chester-based Deepbridge launched its first EIS fund in the 2013/14 tax year and specialises in providing venture capital to early-stage technology, life sciences and renewable energy companies.
Deepbridge has, to date, invested in 71 companies across the UK with Enterprise Investment Scheme (EIS) funding, a further 63 companies at Seed EIS stage, with three profitable exits.
Earlier this year, Deepbridge reported a record year of EIS fund raising, with almost GBP30 million of funds deployed during the 2020/21 tax year across the Deepbridge Technology Growth EIS and Deepbridge Life Sciences EIS.
In addition to its EIS funds, Deepbridge also manages the Deepbridge Estate Planning Service, which utilises business relief qualifying renewable energy assets to provide inheritance tax mitigation.
Ian Warwick, Managing Partner at Deepbridge Capital, says: “When we launched our first fund eight years ago, our goal was to support early-stage companies on their growth journey and provide the best possible products for investors, with fundraising milestones not on our mind. However, reaching such a milestone represents an opportunity to reflect on our achievements, which are solely down to having a great team, great investee companies and fantastic support from investors and financial advisers. Our approach of providing hands-on proactive support to investees is proving the right approach; with three profitable exits to date, a portfolio of companies which is maturing well, and significant co-funding being attracted – our investors and financial adviser community can look forward to further good news stories ahead.
“When the Government’s Patient Capital Review redefined the EIS sector and focused investments on growth-focused innovators, this supported our proposition perfectly as we have long spoken about investing in the spirit of EIS; namely seeking to scale great companies that contribute to the UK economy. As we undergo a period of economic recovery in the UK, the Enterprise Investment Scheme has never been more important and will be critical to creating the great companies of tomorrow. We look forward to providing even further support to great growth companies over the coming years.”
Mark Brownridge, Director General at the Enterprise Investment Scheme Association (EISA), adds: “The Enterprise and Seed Enterprise Investment Schemes continue to deliver money where its needed most in the UK economy and nowhere is this better demonstrated than by long-term EISA members, like Deepbridge, raising such significant sums for early-stage companies in the UK. As we sit here in 2021 and with the UK desperately seeking economic growth, there is no doubt EIS and SEIS continues to provide embryonic companies with equity funding at a point in their lifecycle where other forms of funding do not dare to tread.
“EIS and SEIS have a long and proud track record in supporting innovative, scalable companies and announcements such as Deepbridge’s go to prove the significant level of optimism in the industry currently; entrepreneurs are turning their bright ideas into productive companies, investors are waking up to the investment opportunities these companies present and I’m absolutely convinced the next wave of unicorns and blue chip companies to come out of the UK will be SEIS and/or EIS funded.”
Deepbridge currently consists of 53 team members across offices in Chester, London, Edinburgh, Bristol and Queensland, Australia.
