MFM to target high-growth Mids investments
The managing director of Birmingham-based Mercia Fund Management (MFM) has told Insider he is not looking to invest in companies in the north of England as the region is "awash" with public funding.
Dr Mark Payton said he was "not a big fan" of investing in areas where there was large amounts of public sector funding available. He added that the company's third fund – the Mercia Growth EIS Fund – would be looking to invest in businesses primarily in the Midlands and Oxfordshire.
MFM's two previous funds were restricted to investing in Midlands-based businesses. The next offering, which launches in Birmingham tomorrow (23 November) will focus on high-growth medical technology, clean technology, electronics, telecoms and software businesses.
Payton said that over the past year, the company had been "inundated" with enquiries from businesses seeking investment which had previously received public sector funds.
"Unfortunately, we weren't able to invest in those businesses – they weren't really the kinds of businesses we're looking to invest in and create, which is high-growth, vibrant and independent."
He said MFM was hoping to invest in between five and nine businesses over a two-year period.
The Mercia Growth EIS Fund closes on 5 April 2012, but may close sooner if the investment target is reached before that date.
