Welsh tech seed fund passes £1m milestone in first year

The Wales Technology Seed Fund, launched by the Welsh Government and Finance Wales in 2014, has so far invested £1.2 million in nine Welsh technology start-ups.

It’s helping these businesses commercialise and bring to market innovative products and services in sectors such as health and fitness, bioscience, entertainment, data management and travel.

The fund makes equity investments of up to £150,000, which can be used alongside a range of other Welsh Government support as well as further investment from Finance Wales.

Chosen companies can also benefit from Finance Wales’s links with leading private and institutional co-investors as they grow, and there’s also support for management teams through the organisation’s network of industry experts.

Welcoming Finance Wales’s announcement, Economy Minister Edwina Hart said: “The Wales Technology Seed Fund has had a significant impact in its first year.  It’s already boosting the growth of technology businesses, helping to create high-calibre job opportunities and bring innovative new products to market.

“I’m also pleased to see the range and diversity of businesses working across the sectors that are benefiting from the Fund which is providing the finance needed to take their businesses to the next level.”

“It’s helping disruptive, technology-driven businesses to commercialise their big ideas and turn them into businesses.  We can introduce the businesses we invest in to experienced co-investors and industry experts early on, helping their management teams build commercial traction.”

Ehealth start-up Nudjed, based in Caerphilly, was the first company to benefit from the fund, receiving a £125,000 investment to support its launch in October last year. It’s since gone on to raise a further £125,000 from a group of angel investors.

Warren Fauvel, founder and CEO of Nudjed, said: “The Wales Technology Seed Fund was an ideal source of funding at the right time for nudjed.  It allowed us to launch successfully, develop the business and go on to secure further investment.”

Image credit: Images Money/Flickr