With the Angel Association to hold its 10th Anniversary Summit at the end of the week, first half year results show angels are investing at rates on a par with previous years and that the upwards trajectory of interest in the sector continues.
Reporting on the activity of its members tracked by the NZ Venture Investment Fund, Angel Association Chair Marcel van den Assum said $20.2m dollars was invested in 29 deals in the first six months of the year. Reflecting previous years, the split between new deals and follow-on funding was one third/two thirds.
Mr van den Assum went on to note that typically there is a substantial uplift in activity in the second half of the year.
“The level of deal flow being generated by accelerators such as Wellington’s Lightning Lab, the Manawatu’s Sprout and Auckland’s Flux together with the establishment of new networks this year such as Zino Ventures, Angel Investors Marlborough and Hawkes Bay Angels bodes well for another record year of investment,” said Mr van den Assum.
“When record keeping began in 2006, only 30 deals were done and $21m was invested. Annual investment has now exceeded $50m per annum for the last four years and grown by an average of $5m a year to reach nearly $70m in 2016,” he added.
“A decade into this endeavour it’s pleasing to see three angel-backed ventures deliver returns this year,” said Mr van den Assum.
PowerbyProxi was sold to Apple, Publons to US-based Clarivate and IMeasureU to UK-based Oxford Metrics.
This year’s 10th anniversary angel summit is being held back where it all started in 2007, on Waiheke Island. The focus will be on what is required to build on the success of the last decade which has seen almost $500m invested into nearly 1000 deals. Ten years ago there were just 4 angel networks with about 100 members. Today there are a dozen networks operating from Dunedin to Auckland with over 700 angels contributing capital, connections and expertise to about 100 ventures a year. All this activity has delivered hundreds of jobs and tens of millions of revenue for the country and is now beginning to generate the returns required to ensure the endeavour is sustainable.
For more information, please contact:
Suse Reynolds, AANZ executive director
mob: 021 490 974 or email: [email protected]
Marcel van den Assum, AANZ chair and 2015 Arch Angel
mob: 021 963 459 or email: [email protected]
The Angel Association of New Zealand (AANZ)
The Angel Association is an organisation that aims to increase the quantity, quality and success of angel investments in New Zealand and in doing so create a greater pool of capital for innovative start-up companies. It was established in 2008 to bring together New Zealand angels and early-stage funds. AANZ currently has 30 members representing over 700 individual angels associated with New Zealand’s key angel networks and funds. AANZ works closely with NZTE and Callaghan Innovation and a number of private sector partners including NZX, First NZ Capital, PWC, Avid Legal, AJ Park, KiwiNet, Uniservices and Spark Ventures. For more, please visit: www.angelassociation.co.nz
New Zealand Venture Investment Fund
The New Zealand Venture Investment Fund invests with venture capital funds and alongside angel investors to support New Zealand technology companies with start-up and growth capital. The NZVIF was established by the New Zealand government in 2002 to build a vibrant early stage investment market in New Zealand. Recent NZVIF data revealed angels have invested more than $NZ484m in over 928 deals and 296 companies in the last 10 years. NZVIF has $245m of funds under management which are invested through two vehicles: the $195m Venture Capital Fund of funds and the $50m Seed Co-investment Fund. All investments are made either through privately managed venture capital funds, or alongside experienced angel investors. For more please visit: www.nzvif.co.nz.