Maven managed NPIF II Fund launches in the North East

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The British Business Bank has launched its new Northern Powerhouse Investment Fund II (NPIF II), a £660m Fund set to cover the entire North of England. NPIF II aims to build on the success of the initial fund, with the purpose of driving sustainable economic growth by supporting innovation and creating local opportunities for new and growing businesses across the North.  

Published: Mar 19, 2024
Focus: NPIF II - Maven Equity Finance

The Northern Powerhouse Investment Fund II will increase the supply and diversity of early-stage finance for Northern smaller businesses, providing funds to firms that might otherwise not receive investment and help to break down barriers in access to finance. 
Providing loans from £25,000 to £2m and equity investment up to £5m, the Fund will continue investing into companies operating within the North West, Yorkshire and the Humber and Tees Valley. It is now expanded to include the whole of the North East enabling businesses across the whole of the North to access the Fund to start up, scale up or continue on their growth journey. 

“The success of the first Northern Powerhouse Investment Fund has proven the instrumental change that access to finance can have for small businesses. From creating hundreds of jobs to developing ground-breaking products, we have seen companies that previously lacked funding options accelerate forward in their growth journeys, which has ultimately benefitted the whole of the Northern economy. This is why it was important to continue the Northern Powerhouse Investment Fund into into its next phase. With further funding available, and a greater geographical reach in the North East, the Northern Powerhouse Investment Fund II will engage more stakeholders across the regions, bringing the business community closer together to create more opportunities for entrepreneurs everywhere.” 

 Louis Taylor, Chief Executive of the British Business Bank

Nine Fund managers have been appointed to manage the Northern Powerhouse Investment Fund II. With NPIF II now set to cover the entire North East, NEL Fund Managers (NEL) will provide both smaller loans (£25,000 to £100,000) and debt finance (£100,000 to £2 million) to North East businesses with Maven managing equity deals up to £5 million.  

In the North West, GC Business Finance & River Capital will manage the smaller loans part of the Fund (£25,000 to £100,000), FW Capital will be responsible for larger loans (£100,000 to £2 million) and Praetura Ventures will manage equity deals (up to £5 million). 

"We are delighted to be appointed as the equity Fund manager for the North East, working alongside the British Business Bank in bringing a much-welcomed additional source of funding to the region as part of the new £660 million Northern Powerhouse Investment Fund II. The region already has a thriving ecosystem for ambitious companies, and the new Fund underscores our commitment to supporting the growth and development of SMEs from Northumberland to Teesside. Accessing finance is often the key barrier for businesses in the pursuit of growth, and through NPIF II, we can address funding gaps and provide capital to innovative businesses, driving sustainable economic growth and job creation across the region."

Michael Vassallo, Investment Director at Maven

Maven has a long standing presence in the North East with an experienced team of investment executives serving the business community across the region from offices in Newcastle and Durham. Key members of Maven’s NPIF II team include Michael Vassallo, David Nixon, Rebecca Macdermid and Michael Dickens.

Maven has a strong track record in managing other UK regional funds for the British Business Bank, including the recently launched South West Investment Fund, the Investment Fund for Scotland and Midlands Engine Investment Fund II, designed to boost productivity, innovation and jobs across those territories. The new mandates mean Maven manages a diverse range of regional growth funds across the United Kingdom, able to back emerging businesses stretching from Shetland to Cornwall.

“This new Fund will unlock millions in equity and loans for SMEs across the North to realise their full potential and builds upon British Business Bank’s vital work ensuring that any small business owner in the UK can scale up and grow.  SMEs are the engines of growth for our economy and across government we are improving access to finance, cutting red tape and removing barriers to ensure that they can go further and faster than ever before.” 

Kevin Hollinrake MP, Minister of State for Enterprise, Markets, and Small Business

Following today’s official launch in Leeds, the British Business Bank will be holding a roadshow of events for small business finance intermediaries across the region to provide more information about the Fund. Destinations include Newcastle (18 April); Manchester (24 April), Sheffield (30 April).   
Further dates for roadshow events in Liverpool, Hull, Lancashire, Tees Valley, York, Cheshire, Durham, Cumbria and Northumberland will be announced shortly. 


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