Trafalgar, Marylebone target bridge financing fund at pre-IPO firms
Trafalgar Capital Advisors and Marylebone Fund Management Group have partnered to launch the PreIpo2Ipo fund.
The PreIpo2Ipo fund provides bridge financing to innovative organizations seeking listing on small-cap exchanges or listing platforms in the UK, US, Ireland, Germany and Dubai.
It will invest via a convertible note which converts at private valuation rate when the listing occurs.
Bob Press (pictured), founding partner and CIO of Trafalgar Capital Advisors, said that the sterling denominated fund is open to qualified investors looking for different types of opportunities than that such as the much discussed Groupon launch onto Nasdaq last week.
“This is a tiny subset of carefully managed transactions. There is still a market for investors looking for good growth opportunities. In the face of some overwhelming global issues 100% of all opportunities don’t disappear and the lack of anything resembling capital formation options for small growing businesses makes this another natural small niche to be explored. The Marleybone team has been successfully executing on these opportunities through good and bad market cycles. The opportunity to team up with TCA and do it through a fund vehicle is, we believe a natural progression.”
The minimum investment in the fund is set at £25,000, with investments typically envisaged in the £300,000 – £500,000 range.