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  • Locations with high concentrations of VC back companies Locations where Amadeus has held portfolio companies
  • Locations where Amadeus has held portfolio companies
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    1. 1. Funders’ Forum A Venture Capitalist’s View Why Universities need to care about Capital Markets Anne Glover - CEO Amadeus Capital Partners Limited November 27 th 2006
    2. 2. US Venture Capital Commitments vs. NASDAQ Source: VentureSource/Thomson Venture Economics, Bloomberg Venture Capital Fund commitments are correlated with the level of the NASDAQ index
    3. 3. UK Total High Tech VC Investment (All Stages, £m) Source: BVCA £m UK Venture Capital investment followed the same pattern
    4. 4. UK University Spin-out Company Formation Activity Source: Spin-out Monitor,Library House,2005 …… .as did University spin-outs
    5. 5. European Renaissance Trailing 12 months Number of Venture backed IPO’s Source: VentureSource Number of IPOs in Europe are outpacing those in the US for the first time since Q4 2001. Sarbanes Oxley Effect
    6. 6. The UK’s Unique Opportunity <ul><li>Strong Science Base </li></ul><ul><ul><li>Over 36 research based Universities </li></ul></ul><ul><ul><li>Several in the top 50 globally </li></ul></ul><ul><li>Strong private equity industry </li></ul><ul><ul><li>Second only to the US in maturity, scale and success </li></ul></ul><ul><ul><li>Approximately one-third of all invested venture capital in Europe </li></ul></ul><ul><li>Strong capital markets </li></ul><ul><ul><li>LSE is the most sought after listing location for foreign companies </li></ul></ul><ul><ul><li>AIM is providing growth capital previously missing for UK companies </li></ul></ul><ul><li>Supportive Government </li></ul><ul><ul><li>R&D tax credits </li></ul></ul><ul><ul><li>Favourable macroeconomic and fiscal environment </li></ul></ul><ul><ul><li>Broad and active support for the knowledge intensive sectors </li></ul></ul>
    7. 7. An opportunity …… …………….to accelerate technology innovation <ul><li>Which happens in clusters like </li></ul><ul><li>Silicon Valley, Route 128, North Carolina </li></ul><ul><li>Oxford, Cambridge, London </li></ul><ul><li>Munich, Paris, Stockholm, Helsinki, </li></ul><ul><li>BUT </li></ul>China and India will catch up in innovation and the US will fix its red tape
    8. 8. UK & Ireland Technology Clusters <ul><li>Comprised of </li></ul><ul><ul><li>World class universities </li></ul></ul><ul><ul><li>Corporate research facilities </li></ul></ul><ul><ul><li>Technology consultancies </li></ul></ul><ul><ul><li>Supportive local government </li></ul></ul><ul><ul><li>Flexible infrastructure (science parks, leased offices etc) </li></ul></ul><ul><ul><li>Business angel communities </li></ul></ul><ul><ul><li>Local venture capitalists </li></ul></ul><ul><ul><li>Successful large and small companies </li></ul></ul><ul><ul><li>Multiple job opportunities within a specific career area </li></ul></ul><ul><ul><li>Multiple networks to facilitate knowledge sharing </li></ul></ul><ul><ul><li>Attractive social communities </li></ul></ul>Technology start-up activity requires an eco-system to develop successfully
    9. 9. Continental Technology Clusters <ul><li>Most other European countries have two or fewer world class clusters </li></ul><ul><li>All have less access to capital – business angel, VC and public market than in the UK </li></ul><ul><li>Many do not yet have the entrepreneurial track record of the UK </li></ul>But the real competition is global not regional
    10. 10. Venture Capital Expansion into or across Europe <ul><li>Only the Europeans are seriously interested in expanding within Europe </li></ul>Source: Global Trends in Venture Capital 2006 Survey, Global report sponsored by Deloitte Touche Tohmatsu
    11. 11. University and Venture Capital Collaboration <ul><li>The brutal fact is that not all Universities will spawn a cluster in all fields - and each must focus on only a few commercial areas </li></ul><ul><li>Business and entrepreneurs can now access talent globally, but can be attracted by many factors the UK has to offer: </li></ul><ul><ul><li>Clear intellectual property rules </li></ul></ul><ul><ul><li>World class research and talent </li></ul></ul><ul><ul><li>Diverse commercial activity in its sector </li></ul></ul><ul><ul><li>Supportive Government policy </li></ul></ul><ul><ul><li>Good infrastructure </li></ul></ul><ul><ul><li>Availability of a ‘chain’ of capital – business angels, venture capitalists and public market </li></ul></ul>The UK must build a few world class clusters that can compete with Silicon Valley today …… . And Shanghai tomorrow