O’Connors advises Nova on new SEIS/EIS fund launch

Liverpool-based Nova has launched its own SEIS/EIS fund to invest in early stage start-ups.

The Enterprise Investment Scheme and Seed Investment Scheme are government incentives designed to encourage investment into small companies by offering tax breaks to investors.

Deployments are co-invested quarterly alongside Nova into a diversified cohort of at least ten early-stage companies within its portfolio.

The initiative will be backed by tech, fintech, proptech, digital health and other knowledge-intensive industries in a diversified portfolio designed to reduce risk of failure.

Chief executive Andy Davidson said:

“We have developed a product that allows investors to take advantage of the high growth rate within Nova’s portfolio but also mitigates the risks that are typically associated with these high growth markets.

“This fund gives Nova full ownership and control over our investment. It means we can deploy the funds quicker, and have a flexible and bespoke approach to each start-up. Spreading the investment across a minimum portfolio of ten companies per quarter significantly reduces risk.”

To date, Nova has invested in more than 80 businesses, generating more than £100m in shareholder value and creating more than 200 jobs.

O’Connors acted for Nova.