Mayor's fund continues to invest in London start-ups

Mayor's fund continues to invest in London start-ups

The Mayor of London has invested £2.5m worth of funding into 20 start-ups since the EU referendum as he looks to establish himself as ‘the most pro-business mayor London has ever had.’

A company which produces portable incubators for premature babies and another which makes navigation systems for bicycles are among the businesses that have benefited from the London Co-investment Fund since the June referendum.

The fund which is backed by the Mayor of London Sadiq Khan uses public-private venture capital for pump-priming investment in some of London's most innovative science, digital and tech start-ups.

In June alone, the fund invested more than £1m in a range of start-ups despite a downturn in investment across much of the economy.

Khan said: “I have promised to be most pro-business Mayor that London has ever had – and now I’m delivering on that promise.

"And our great city is fertile ground for promising start-up business from a whole range of sectors.

"The level of investment being made and the performance powering forward shows very clearly how London is open to new talent and innovative ideas.”

The London Co-investment Fund is funded by the Mayor of London through the London Local Enterprise Partnership and is managed by Funding London on their behalf.

Over its two-year history, it has invested more than £11m in 67 businesses and has leveraged nearly £70m in investment from the private sector, creating more than 450 jobs and safeguarding nearly 200 more in the process.

Founder of smart energy company Powervault, Joe Warren, said: “Powervault has received tremendous support from the London Co-Investment Fund.

"The additional investment of £80,000 in July this year helped catalyse a further £1.4m from other institutional, angel and crowd investors.

”The fund’s support has led to the creation of eight skilled jobs in London’s smart energy sector.

"City Hall has also helped by making relevant introductions and by responding to consultations with us, helping us to shape policy in the sector.”

Pivigo, an online hub which connects businesses with data scientists and has worked with KPMG, Marks & Spencer, British Gas, Barclays and Investec, is another business that has received funding.

Kim Nilsson, founder, added: "The round has helped us scale our team and we raised it specifically to expand our services and build a data science marketplace.

"This is a platform connecting our large and growing community of data scientists with companies and organisations looking for freelance talent to join short term projects.

"We are spending the money on building out our development team, and in our marketing efforts to engage with the data science and artificial intelligence (AI) community.

"We believe the opportunities for companies to get more value out of their data are huge, and by giving access to a freelance community of the best and brightest analytical talent we help democratize data science and bring the benefits of data to all organisations."

 

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