HomeUKEMV Capital Acquires Martlet Capital’s Operational Business

EMV Capital Acquires Martlet Capital’s Operational Business

EMV Capital, a London, UK-based venture capital investor specialising in high-growth deep tech and life sciences companies, has been appointed as investment manager of Cambridge, UK-based seed-stage VC investor Martlet Capital.  

EMV Capital will manage, on a discretionary basis, Martlet Capital’s c.£23.3 million portfolio of investments across 53 companies within the deep tech and life sciences sectors. In addition, EMV Capital has acquired the operational VC business of Martlet Capital (excluding its investment portfolio).

EMV Capital and its parent company, NetScientific PLC, invested in the initial fundraising rounds of Martlet Capital in 2021. Having collaborated closely with Martlet Capital since then, EMV Capital recently identified the opportunity to expand the relationship by taking on the investment management role for Martlet Capital. EMV Capital will leverage its active management strategy to maximise returns for the shareholders of Martlet Capital and further advance Martlet’s proposition. 

The deal provides EMV Capital with:

  • an enlarged team of specialist, multi-disciplinary, venture capital experts in the deep tech and life sciences sectors, deftly covering a variety of activities including: deal flow sourcing, portfolio management, corporate finance, fund management, value creation services and industry partnering skillsets; 
  • an additional c.£23.3 million of Funds Under Management, an increase of c.89 per cent. upon the £26.1 million of capital under advisory that is currently managed by EMV Capital;
  • recurring investment management fees for a minimum period of four years; 
  • carried interest over the Martlet portfolio; and 
  • the respected Martlet brand, which provides EMV Capital with further exposure to the deep network of Martlet Capital within the globally renowned Cambridge high-tech cluster, known for its track record of generating high-value businesses in the deep tech and life sciences space. 

EMV Capital intends to leverage the Martlet brand by means of exploring investor appetite for the proposed launch of the following two new Martlet funds – each to be managed by EMV Capital if and when launched:

  • Martlet Capital Fund II: a fund to build on Marlet Capital’s existing and proven investment policy (noting it is not anticipated that Martlet Capital itself will make material new investments); and 
  • Martlet Growth Fund: a fund intended to take up follow-on investment opportunities emerging from the Martlet portfolio and other investments.

In turn, Martlet’s team and portfolio gain access to EMV Capital’s active portfolio management strategy, its corporate finance team’s proven ability to develop unique investment strategies, drawing on its EIS fund and extensive network of private investors, family offices, institutions, and corporate VCs; as well as the Value Creation Services practice supporting portfolio company growth. 

Led by Dr Ilian Iliev, MD, EMV Capital is an FCA authorised VC investor specialising in high-growth deep tech companies in the life science, sustainability, and industrials sectors in the UK and internationally. The firm develops investment strategies for each portfolio company, drawing on its EIS fund and extensive network of private investors, family offices, institutions, and corporate VCs.

EMV Capital is a wholly owned subsidiary of NetScientific plc (AIM:NSCI), an AIM-quoted VC investment group with a focus on deep tech and life sciences. 

Founded by Robert Marshall in 2011 as a deep tech investment arm of the Marshall Group of Companies, Martlet is an early-stage investor based in Cambridge, providing patient capital to IP-rich, deep tech and life sciences B2B startups with high growth potential, including Paragraf, Nu Quantum, Xampla, Infinitopes, and Cambridge GaN Devices.  

The firm has invested in more than 65 startups since its launch in 2011. In 2021, Martlet raised capital to demerge from the parent company. Over the past decade, the firm has achieved several significant exits from its portfolio through trade sales to global technology companies and IPOs; including the ‘unicorn’ Abcam (IPO), Audio Analytic (sold to Meta), Cambridge CMOS Sensors (acquired by AMS), Arachnys (acquired by AML RightSource).

VCWire

14/05/2024