ALBANY—In an effort to support entrepreneurial enterprises thatare transitioning from research to the marketplace and help ensurethose operations remain in the Empire State, the state has launcheda new $50-million Innovation Venture CapitalFund.

|

The fund is expected to leverage at least $100 million inprivate capital to support high growth areas including advancedmaterials, clean technology, life sciences/biotechnology andinformation technology, state officials say. The fund, announced onFriday by Gov. Andrew Cuomo, will provide criticalseed funding for the development of early-stage companies in highgrowth areas to create jobs and help launch, as well as attract newbusinesses to New York State.

|

“New York is home to some of the brightest minds in theworld—and by launching this fund, we're helping these buddingentrepreneurs bring their ideas to market right here in the EmpireState,” Gov. Cuomo said. “With this action, we're continuing NewYork's legacy of innovation, as well as making another solidinvestment in this state's future.”

|

The fund will be comprised of two segments—theTechnology Commercialization segment and theSeed and Early Stage Co-Investment segment, Thetechnology commercialization segment will facilitate thecommercialization efforts of start-up companies associated with NewYork's universities and make small pre-seed stage investments of upto $100,000. The seed and early stage co-investment segment willinvest directly in seed and/or early stage companies, with anemphasis on strategic industries such as information technology andlife sciences/biotech, as well as relatively underserved areas ofthe state, with investments ranging from $100,000 to $5 million.Empire State Development will review each andapprove all of the fund's investments.

|

The fund will be administered by Empire State Development andmanaged by ESD's new Innovation Venture Capital Fund managingdirector Brian Keil, who previously served as vicepresident of strategy and corporate development at Nielsen Audio.Previously, Keil was a managing director and founding member of a$250-million venture capital fund sponsored by NBC Universal and GECapital, where he sourced, executed and managed venture capitalinvestments in the digital media sector.

|

Gov. Cuomo also announced that the fund will benefit from theknowledge and expertise of a volunteer Investment Committee, anadvisory group comprised of experienced private investmentprofessionals from around New York State. The Investment Committeewill be chaired by venture capitalist and angel investorHoward Morgan, who currently serves as a partnerwith First Round Capital in New York and Philadelphia; director ofIdealab, the Pasadena, CA-based creator and operator of Internetcompanies where he was first a founding investor in 1996 and laterserved as president of Idealab! New York; and a member of the NewYork Angels.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

John Jordan

John Jordan is a veteran journalist with 36 years of print and digital media experience.