News
Southern Cross Fund Reaches $170 Million
Tuesday, 22 May 2007 Growing confidence in the Australian early-stage technology sector has seen the Southern Cross Fund reach over A$170 million with its current fundraising.
This milestone, an Australian first for an early stage venture capital fund, has coincided with the official launch of the Fund’s management company, Southern Cross Venture Partners and the opening of its new North Sydney office.
The Southern Cross Fund focuses on early-stage investments in advanced materials, electronics, information technology, telecommunications, nanotechnology, environmental science, clean energy and defence technology from the Australian and New Zealand research, innovation and entrepreneurial sectors.
Southern Cross Venture Partners Managing Director Bob Christiansen said that the Fund had reached a size where the focus could start to move from capital raising to evaluating other high-quality investment opportunities.
“The Fund is now of a scale that represents critical mass for a credible venture capital investor in the global market,” Mr Christiansen said.
“Lack of scale has historically been a problem for early-stage funds in Australia and New Zealand, particularly when they have had to step up to investing in later rounds beside larger international venture capital funds.”
“With a fund of this size, we can now follow our winners through the later investment rounds and also be able to support other portfolio companies through the occasional downturn” he said.
The Fund has already made its first two investments – Sydney-based uiActive, a mobile phone software and application design and development company and Brisbane-based Microwave and Materials Design (M&MD), which develops super conducting microwave filters for the global wireless industry.
The Southern Cross Fund continues to receive strong support from leading institutional investors with substantial recent commitments from Industry Funds Management (IFM), SunSuper and others.
IFM Senior Investment Manager – Private Equity, Ms Judith Smith said their decision to invest in the Southern Cross Fund reflected a continued and growing interest in early-stage venture capital in Australia.
“IFM's long track record of supporting the early stage technology sector in Australia has been demonstrated again by investing with the Southern Cross Venture Partners team, an experienced early stage manager, with a well articulated investment strategy”, Ms Smith said.
“IFM believes that the Australian early stage technology sector will provide rewarding returns from Australian originated technologies”.
Southern Cross Venture Partners will capitalise on its strong existing commercial and VC relationships in the US to quickly move investee companies into the global arena and secure follow-on investments with top-tier international VC firms.
The Southern Cross management team has more than 40 years of successful early-stage venture capital experience with offices in Sydney, Brisbane and Silicon Valley.
Southern Cross has three Australian-based directors (Bob Christiansen, Bill Bartee and Gareth Dando) and a Silicon Valley-based director (John Scull).
For further information contact:
Frances Kinman
BBS Public Relations
(07) 3221 6711
This milestone, an Australian first for an early stage venture capital fund, has coincided with the official launch of the Fund’s management company, Southern Cross Venture Partners and the opening of its new North Sydney office.
The Southern Cross Fund focuses on early-stage investments in advanced materials, electronics, information technology, telecommunications, nanotechnology, environmental science, clean energy and defence technology from the Australian and New Zealand research, innovation and entrepreneurial sectors.
Southern Cross Venture Partners Managing Director Bob Christiansen said that the Fund had reached a size where the focus could start to move from capital raising to evaluating other high-quality investment opportunities.
“The Fund is now of a scale that represents critical mass for a credible venture capital investor in the global market,” Mr Christiansen said.
“Lack of scale has historically been a problem for early-stage funds in Australia and New Zealand, particularly when they have had to step up to investing in later rounds beside larger international venture capital funds.”
“With a fund of this size, we can now follow our winners through the later investment rounds and also be able to support other portfolio companies through the occasional downturn” he said.
The Fund has already made its first two investments – Sydney-based uiActive, a mobile phone software and application design and development company and Brisbane-based Microwave and Materials Design (M&MD), which develops super conducting microwave filters for the global wireless industry.
The Southern Cross Fund continues to receive strong support from leading institutional investors with substantial recent commitments from Industry Funds Management (IFM), SunSuper and others.
IFM Senior Investment Manager – Private Equity, Ms Judith Smith said their decision to invest in the Southern Cross Fund reflected a continued and growing interest in early-stage venture capital in Australia.
“IFM's long track record of supporting the early stage technology sector in Australia has been demonstrated again by investing with the Southern Cross Venture Partners team, an experienced early stage manager, with a well articulated investment strategy”, Ms Smith said.
“IFM believes that the Australian early stage technology sector will provide rewarding returns from Australian originated technologies”.
Southern Cross Venture Partners will capitalise on its strong existing commercial and VC relationships in the US to quickly move investee companies into the global arena and secure follow-on investments with top-tier international VC firms.
The Southern Cross management team has more than 40 years of successful early-stage venture capital experience with offices in Sydney, Brisbane and Silicon Valley.
Southern Cross has three Australian-based directors (Bob Christiansen, Bill Bartee and Gareth Dando) and a Silicon Valley-based director (John Scull).
For further information contact:
Frances Kinman
BBS Public Relations
(07) 3221 6711