The fund aims to complete around 15 investments per year over the three-year period.
Image source: Will Chappel & Alastair Brown/Shard Credit Partners.
Alternative investment fund manager Shard Credit Partners has hed its first close on a new £75m venture debt fund.
The fund will make investments in venture capital backed businesses in fintech and B2B SaaS sectors across the UK, targeting the lower mid-market.
Shard Credit Partners is targeting borrowers with annual recurring revenues of at least £2m, with typical loan sizes between £2m–£6m per borrower.
“We look forward to continuing to support fast-growth businesses across the software as a service and fintech sectors,” Shard Credit Partners head of venture debt William Chappel said.
“We aim to become the ‘go-to’ debt provider for venture capital-backed high-growth technology businesses in the UK”.”
The fund has completed two investments with total commitments of £6.5m ahead of the first close and aims to complete around 15 investments per year during the three-year investment period.
It will target what it says are around 13,000 series A technology companies that have emerged following a strong growth period in the technology venture capital sector over the past decade.
The fund will provide flexible venture loan capital to support sales growth through increased expenditure on marketing initiatives, according to the company.
“[The launch of the venture debt fund] further cements our position as a specialist private credit manager in the UK and continental European direct lending marketplace, successfully investing in strategies having a senior secured risk profile and generating high teens double-digit gross returns for our institutional investor base,” Shard Credit Partners CEO Alastair Brown said.
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