The Investment Fund for Wales (IFW) has invested more than £18m into Wales’ small businesses since its launch in late 2023.
This milestone was reached almost eighteen months after the launch of the fund, following 71 investments into over 67 businesses located across Wales and includes an additional £3m of private sector co-investment which has been leveraged as a result of the IFW’s support.
The £130m fund was launched by the British Business Bank in November 2023 with the aim of driving sustainable economic growth by supporting new and growing businesses across the whole of Wales. The fund includes a range of finance options, with smaller loans from £25,000 to £100,000, delivered by fund managers BCRS; larger loans of £100,000 to £2 million, managed by fund managers FW Capital; and equity investments up to £5 million, via Foresight.
Among the Welsh businesses to recently benefit from the IFW includes a £1m equity investment into Brecon based gamified cyber security learning platform SudoCyber; a significant equity investment into pioneering Cardiff based AI start-up, Nisien.AI; and a number of debt deals, including a £100,000 investment into west Wales based Sgiliau Play Centre to facilitate opening a new site in Llanelli, and another £100,000 into Hirwaun based cake wrapper manufacturer, Chevler, which is the UK’s leading manufacturer of packaging used in the baking and sale of cakes and muffins.
Commenting on the milestone, Mark Sterritt, Investment Director at the British Business Bank, said: “It’s been almost eighteen months since the launch of the Investment Fund for Wales and during that period the fund has really gathered momentum, developing both a history and pipeline of investment deals into Welsh businesses that we are positive will enable them to realise their potential.
“Additionally, the Investment Fund for Wales aims to crowd in private capital, ultimately increasing the amount and diversity of available equity finance. With this in mind we will be working hard to leverage private capital investment over the course of the fund life.
“As the Investment Fund for Wales matures in the years ahead we expect to see significantly more private capital enter the Welsh investment market, as later funding rounds bring in more specialist investors”.
