(January 17, 2014) — Two major sovereign wealth funds have combined forces to invest $100 million in fast-moving Irish and Chinese technology companies.
The National Pensions Reserve Fund (NPRF) and the China Investment Corporation (CIC) have agreed to commit $50 million each to the newly created China Ireland Technology Growth Capital Fund, borne from recent state visits from Chinese officials to the Emerald Isle.
WestSummit Capital—a technology growth capital investor based in Beijing with an office in Silicon Valley—and Atlantic Bridge, a growth capital investor specialising in technology based in Dublin with offices in London and Silicon Valley, will co-manage the fund.
The fund’s strategy will be to make minority equity investments in fast-growing technology companies in Ireland and China that have a substantial or strategic presence in the other market. Investment in Irish companies will also be considered for tech companies which are seen to provide a gateway into the broader European market.
Companies operating in core technology sectors such as internet, software, semiconductors, and clean technology will be targeted by the fund’s managers, as well as a number of other technology areas where the Fund’s strategy is uniquely positioned. These include agriculture, food, medical, and financial services.
NPRF Chairman Paul Carty said: “China represents one of the largest and fastest growing markets in the world and we look forward to working with CIC, WestSummit Capital, and Atlantic Bridge in this exciting new venture.”
Minister for Finance Michael Noonan added: “The recent successful state visits to and from China highlighted the potential for increased economic activity and job creation. The cooperation between these two dynamic economies and creation of this fund exemplify that opportunity.”
Related Content: CIC Bullish on Developed Economies and Irish Pension Fund to Boost Country’s Businesses