Whiterock, a Northern Ireland-based company, is set to target burgeoning firms in the North with a fresh £75 million (€87.5 million) funding pot, in an attempt to fill a white space in the local growth finance market. This Growth Capital Fund, announced by Whiterock, will chiefly concentrate on companies in Northern Ireland across varied sectors, pouring in investments ranging from £1 million to £5 million. However, it could support firms throughout the UK with an interest in Northern Ireland.
Their goal is to fund approximately 15 to 20 businesses in the subsequent five years, procuring a minority stake, while offering the prospect of additional funding to facilitate the expansion of companies in sectors like digital, fintech, health and life sciences, agritech, advanced manufacturing and engineering, among others.
This fund reflects Whiterock’s first venture into equity, a departure from its past strategy of offering debt funding to over 150 SMEs in Northern Ireland. The new growth capital originates from the British Business Bank, contributing £45 million, in conjunction with anonymous private investors.
Paul Millar, CEO at Whiterock, said the company has been a consistent supporter of local businesses for more than a decade and their seasoned team has a successful record of managing funds in the market. He also touched upon the current situation of funding for northern companies, stating that despite improved conditions, independent studies indicate a palpable equity shortage in Northern Ireland in terms of local private equity investors, particularly concerning the £1 million to £5 million investment bracket.
Graham Ferguson, the former CFO of Newry-based tech firm First Derivatives, has joined Whiterock as investment director, to work in partnership with David McCurley and Paul Millar. In addition, the fund will be fortified by the inclusion of several external consultants and industry specialists to provide crucial technical expertise and know-how.