SGM.L Regulatory News (SGM)

28 Jul 2009 07:00



SGM

SIGMA CAPITAL GROUP PLC

("Sigma" or "the Group")

Re: Frontier IP Group Plc

Launch and First Closing of New University IP Investment Fund 

Sigma, the specialist asset management and advisory group, is pleased to announce that its subsidiary, Frontier IP Group Plc ("Frontier IP"), which listed on the PLUS Market in May 2009, has been involved in the successful establishment and First Closing of a new dedicated private equity fund for investment in intellectual property developed by Robert Gordon University, Aberdeen.

Frontier IP, which specialises in the commercialisation of university IP, has a 25-year partnership agreement in place with Robert Gordon University and this new fund will help to accelerate the development of commercial opportunities emerging from the university's research programmes. The fund, named RGU Ventures Investment Fund LP ("the RGU Fund" or "the Fund"), launches with committed funds at First Closing of up to £1.1 million and has the first right to invest in any spin-out company from the University, across any of its faculties.

Frontier IP and Robert Gordon University have respectively invested £300,000 and up to £800,000 in the Fund at First Closing. In addition, the RGU Fund has secured partnership status with Scottish Enterprise's Scottish Co-Investment Fund.  This means that the Scottish Co-investment Fund may invest alongside the RGU Fund in individual university spin-out companies, matching, subject to other criteria, pound-for-pound investments made by the Fund and thereby potentially doubling the total funds available to £2.2m.

The University has a strong research base and particular strength in energy, environmental technologies and healthcare. The Fund will consider any sector where there is a clear and defensible intellectual property base and it is expected that its portfolio will be broadly spread across a range of technology and life sciences companies, reflecting the patentable research base within Robert Gordon University.

Sigma's subsidiary, Sigma Technology Management Limited, will initially act as manager of the Fund, as part of its services management agreement with Frontier IP, with Frontier IP Limited assuming this role once it has received approval to do so from the Financial Services Authority. The Fund can remain open to new investors for a further two years.

Graham Barnet, Chief Executive Officer of Sigma, commented,

"Robert Gordon University has a strong reputation as a centre of research and innovation and we are delighted that our subsidiary, Frontier IP, which has a 25-year partnership agreement in place with the university, has been involved with the successful establishment of this new fund to support the development of such cutting-edge technologies. 

It is also particularly pleasing that, in addition to the investment from Frontier IP and Robert Gordon University, partnership status with the Scottish Enterprise's Scottish Co-Investment Fund has been achieved." 

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