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10 Years of Growing Success

Introducing VGC Partners

VGC Partners (£100m AUM) are a specialist growth capital investor with a proven track-record of delivering superior and attractive investment returns. With a strong team of investors and operators they have successfully backed some of the most exciting, and high growth businesses across the consumer technology and media sectors, delivering impressive returns for investors.


The Key Numbers

Established in 2011

31 current portfolio companies

£100 mllion aum across several funds and investment vehicles

Team of 17 – Staff and advisory board

1400 investment opportunities reviewed each year with only 9-11 investments made

6 Exits

Deal by deal portfolio estimated return 5.1x

Specialist growth fund estimated return 6.8x

SEIS and EIS Funds

Minimum Investment

£25,000

Target Return

5 x Money

Estimated holding period

3-5 years

The Key Focus

We only invest in sectors we know well, and where we are convinced that technology can make a transformative difference and we can add real value through our expertise and global network.

These sectors are:

FMCG
Health and Wellness
Luxury Goods

Consumer technology, including FMCG products and services, health and wellness and luxury brands.

Game Controller
Balls
Tablet Media

Digital media, including video games development, sports and entertainment and IP and content.

The Key Reasons we are Different

  • Growth capital investor who are backed by the British Business Bank.
  • A proven track record of identifying growing trends in our sectors of expertise and capitalising on them.
  • Built a vast global network of operators and advisors that we can tap into.
  • We run a later stage (Series A) EIS Fund where we can co-invest with the aim of accelerating towards exits.
  • Successfully exited 5 out of 7 of our EIS stage direct investments.
  • We run our SEIS Fund in partnership with Amazon Alexa.
  • Our Co-Investors are all leaders in their own field and include Facebook, Epic, WPP, Kirkbi (Lego Family Office), M12 (Microsoft Family Office) and Tencent.
  • We invest in companies that already have annual revenues of £2-£15 million.

Investment Strategy of EIS and SEIS Fund

The EIS Fund is following the same approach and strategy as our £50 million Growth Fund.

We work alongside the companies we invest in to sharpen what they do, to ensure the right people are in place and to drive revenue growth. We then use our global network of contacts to drive global expansion, and ultimately to drive exits. It is a process that demonstrably works.

Our SEIS Fund invests in the next generation of technology and tech-enabled businesses, including partnering with Amazon Alexa for voice tech businesses.

Two Companies we Have Invested in

SuperAwesome

Super Awesome’s award winning technology enables the internet for kids by regulating online advertising in ways which makes it safer for kids to engage with brands. Established in 2013, the company took advantage of a $4 Billion mega trend from kids’ TV into digital channels. In 2014, VGC Partners led a £5 million investment into Super Awesome and facilitated co-investment from WPP, whose network went on to become a major client.

They soon become trusted by over 250 of the top children’s brands and content owners such as Mattel, Disney, Nintendo, Warner Brothers, Nickelodeon, Activision and EA. The company continued to trade ahead of budget with major international expansion into the US and Asia-Pacific. They were ranked the #1 technology growth company in the UK by the financial times and recognised as the fastest growing Kidtech company. SuperAwesome took on two further funding rounds. In July 2017, they raised £17m Series B investment from Mayfair Equity Partners. In December 2019 the company took on a further round of £13 Million. £10 Million of which came from M12 (Microsoft’s corporate venture fund) and Kirkbi (Lego’s Family Office).

Having invested into SuperAwesome at a valuation of $25m, VGC Partners helped drive revenue growth from £2m to £50m (a 117% CAGR), before selling the company in September 2020 to Epic Games. They arranged for some of their investment returns to be rolled into Epic Games shares and have since seen the company nearly double in value from $15b to $29b.

Iconic Images

Iconic Images is a unique fine art photography business that owns archives of Terry O’Neill and represents many of the world’s best-known images of icons such as those of Jimmy Hendricks, David Bowie, Elton John, Audrey Hepburn, and Sean Connery playing James Bond. In 2013 VGC Partners led a funding acquiring 100% of Iconic Images for £8.5m. A year later VGC Partners partially exited the investment at a valuation of £17m, returning initial investment to investors.

The company have consistently performed strongly with a track record of year-on-year revenue growth and profitability. They have continued to expand licensing & merchandising revenue stream of which increased tenfold in the two years between 2015 and 2017. They opened their very own gallery in Chelsea, London in 2018 and are now present in 34 galleries across 25 cities globally including the National Portrait Gallery and the V&A Museum.

In 2020 the company generated £1.8m EDITDA and has consistently yielded year-on-year dividend payments. In 2021, VGC Partners fully exited their remaining holding in Iconic Images to Authentic Brands Group, who are partially owned by BlackRock for c. £20m.

SEIS and EIS Funds Open Now

Contact

Hugo Dodge

Director, Client Relations

07957 506469 · hugo@vgcp.co.uk

Download the VGC EIS Fund Investor Guide

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