Star Tech NG, the UK’s first portfolio company focussed on pre-IPO US tech giants, will shortly commence a second round of funding to raise in excess of USD50 million through a listed Guernsey fund.
Accredited investors are still able to participate in its first funding round up to a total of USD5 million.
The new funds will be invested in an expanded portfolio of pre-IPO disruptive technology companies and next generation scale-up stage businesses.
Star Tech NG is the UK’s first investment vehicle to focus directly on privately held US technology companies and has already invested USD1 million in a selection of companies including household names such as Spotify, Pinterest, Dropbox and Uber.
Pooling investors’ monies provides Star Tech NG increased purchasing power and allows it to spread investments across a sector diverse and company diverse portfolio, mitigating the ‘stock picking’ risk individual investors would face.
It will provide a wider set of investors with the opportunity to benefit from significant potential returns which until now have only been mainly available to US venture capital firms and their large institutional investors. Private technology companies collectively offer a highly robust asset class, which has provided total returns of more than 200 per cent over the past three years and over 500 per cent over five years.
Ian Wallis, director of Star Tech NG, says: “We are extremely excited by the wide range of pre-IPO and growth-stage investment opportunities we have available and the significant potential returns they could provide our investors. This focus sets us apart from the rest of the UK and European market, allowing investors to dine at the same table as US venture capitalists and their large institutional investors.
“Publicly traded shares in the ‘FANGS’ such as Facebook, Apple, NetFlix, Google plus Amazon and eBay have delivered exceptional increases in value in recent years rewarding early investors handsomely. We are delighted that the next generation of Silicon Valley titans are available to UK investors via the access that we have secured and that secondary liquidity in Star Tech NG‘s shares will be available through the JP Jenkins order matching platform until the listed fund structure is implemented.”