2. Primary Objectives of the
Utah Fund of Funds
1. Increase entrepreneurial economic development within
Utah
2. Fill key gaps between Utah’s emerging industries and the
state’s venture capital infrastructure
3. Assist Utah companies connect to a broader spectrum of
venture capital firms who have specialized experience
and are committed to investing in Utah businesses
4. Achieve the goals above without invoking tax credits, or
state funds
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3. Oversight and Management of the
Utah Fund of Funds
Deutsche Bank invests
$100 million in Utah Utah Capital Investment Board
Fund of Funds Entity. (UCIB)
Utah Capital Investment
Corporation (UCIC)
UTAH FUND OF LP Capital
FUNDS Advisors
VC1 VC2 VC3 VC4 VC5 VC6
Company A Company A Company A Company A Company A Company A
Company B Company B Company B Company B Company B Company B
Company C Company C Company C Company C Company C Company C 3
4. Utah Fund of Funds Mgmt
• Jeremy Neilson – Managing Director
– Mr. Neilson holds a BA from BYU, a JD from Wake
Forest School of Law and an MBA from the University
of Utah. Mr. Neilson has been with the Utah FoF from
inception
• Matthew Peterson – Associate
– Mr. Peterson holds a BA in Finance from the University
of Utah and has 5 years of finance and mergers and
acquisitions experience
• Tamee Roberts – Project Manager & Gov’t
Relations
– Ms. Roberts has 7 years of government experience
working for Gov. Leavitt, Utah’s incentives program
and the Utah Fund of Funds
4
5. Utah Capital Investment Corporation
Board of Directors
• Geoff Woolley – 20+ years as venture capitalist
• Frank Trumbower – 20+ years as venture capitalist and
investment banker
• Will West – Serial entrepreneur having raised over $250
Million in venture funding
• Fred Lane – 30+ years as Investment Banker and M&A
expert
• Ed Alter – Former State of Utah Treasurer and Utah
Retirement Systems board member
• Peggy Wallace – 20+ years in banking and former Utah
State Representative
• Richard Nelson – President and CEO of Utah’s technology
association and former State of Utah incentive director
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6. Utah Fund of Funds Advisor
LP Capital Advisors
• Advise 6 clients that manage over $53 Billion in
private equity allocation
• Opened a Salt Lake City office
• Richard Pugmire manages LP Capital Advisors’
Salt Lake City Office
- Richard returned to Utah after spending 4
years at Ford Motor Company in their
pension and investment division
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7. Utah Fund of Funds Update:
Investments
• Twenty Four fund commitments
• $107 M committed
• Investment Pace:
– 2006 – Nine fund commitments
– 2007 – Eight fund commitments
– 2008 – Four fund commitments
– 2009 – Three fund commitments (to date)
• Over 400 Funds have pitched to the FoF
As of May 2009
7
8. Utah Fund of Funds Update:
Investments
Utah FoF Current Allocation: as of May 2009
8
9. Utah Fund of Funds Update:
Investments
Utah FoF Target Allocation
9
10. Economic Development
As of May 2009
• 27 Active Companies
• 2,020 Jobs
• $63K Average Salary
• $165 M in direct investment from portfolio
10
11. Utah FoF Referrals
• TopTenREVIEWS, a Utah-based technology
company, through an introduction made by Utah's
Fund of Funds, received $6 million from venture
capital firms Highway 12 Ventures and Village
Ventures.
• Allocure credited the Utah FoF program for
providing introductions during the fundraising
process. “The Utah Fund of Funds team provided
direction in matching Allocure with the right funding
source,” said Wirthlin. “SV Life Sciences was an
ideal lead for our A round, and also brought a great
international firm, Novo Ventures, to the table.”
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12. Notable Utah Companies
• Move Networks: Raised $93 M to date from Hummer
Winblad, Benchmark, Steamboat Ventures, Cisco
Systems, and Comcast Interactive Capital.
• Fusion IO: Raised $66.5 M to date from NEA,
Lightspeed Venture Partners, Dell Ventures, Sumitomo
Ventures, UV Partners and Mercato Partners.
• Skullcandy: Skullcandy experienced impressive 140%
growth this past year with 239% annual growth
internationally and is now selling in 55 countries. Sold a
minority interest to Goode Partners.
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13. Trying to Imitate the Utah FoF
• States that have inquired about the Utah Fund
of Funds structure and success
• Colorado • Arizona
• Maine • So. Carolina
• Idaho • Wisconsin
• Washington • Oregon
• Montana • Hawaii
• Iowa • Michigan
• Vermont • Panama
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14. Utah Based Funds
Flush with Cash
Last 24 Months
• UV Partners: $117 Million
• Epic Ventures: $70 Million
• vSpring Capital: $150 Million
• Mercato Partners: $53 Million
• Sorenson Capital: $400+ Million
• Peterson Partners: $100+ Million
• DW Healthcare Partners: $100+ Million
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15. University Venture Fund
• Independent venture fund that leverages a
team of students from around the country.
– $18 M under management.
– Student associates perform investment research,
financial analysis, and conduct due diligence, for
free.
– Fund seeks to co-invest small dollar amounts
(under $1 Million) with venture capital and private
equity.
– Many top venture and private equity firms have
leveraged the students research
• DFJ
• Kleiner Perkins
• Fenway Partners
• Opus
15
16. SVB Opened a SLC Office
• August 2008 – SVB hires a full-time team
member based in SLC – Gary Jackson
• First new SVB office in 8 years
Press Release – August 2008
"Our strategy is to have a local presence in those areas with a
significant concentration of technology, life science and venture capital
worldwide, and we see plenty of opportunity in Utah," said Greg
Becker, president of Silicon Valley Bank. "We've been engaged in Utah
for years and have watched it grow into a vibrant technology market.”
Utah has seen and encouraged impressive growth among technology
and life science companies in recent years and the state's local venture
capital presence is growing. Helping with this acceleration is the Utah
state sponsored Fund of Funds…
16
17. GOED’s Incentive Program
• Post performance refundable tax credits
for jobs created
– Move company to Utah or expand company
within Utah
• Economic Development Tax Increment
Financing (EDTIF)
– Up to 30% of all State of Utah taxes paid
• Renewable Energy Development Incentive
(REDI)
– Up to 100% of all State of Utah taxes paid
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