YFM smashes target raising £90m for British smallcap VCTs

YFM Equity Partners has closed its British Smaller Companies Venture Capital Trusts with £90m raised.

It had originally aimed for £65m, but the funding has smashed through and filled the over allotment facility of £25m.

The British Smaller Companies VCT was first listed in 1996, and was followed by a second one in 2000. The two funds are some of the longest running VCTs on the market, with over 15,000 shareholders.

Since January 2022, the funds have invested around £70m in a variety of UK business, including the North West’s first unicorn, Manchester-based cloud data platform Matillion.

With the new money brought in by the fundraising drive, YFM said it would be looking around the UK to invest the cash.

It has already opened offices in London, Leeds, Reading, Manchester and Birmingham.

In December, YFM announced a £95.5m close of its Buyout Fund III, marking the highest amount ever raised from a YFM Buyout Fund.

YFM managing partner Eamon Nolan said: “Once again, we have proven that there is a strong appetite to invest, where the right opportunity – one that truly resonates with investors – is delivered.

“Undoubtedly, the longevity and strong track record of our BSC VCTs have proven a draw to new and repeat investors alike. All are attracted to the idea of supporting small, ambitious businesses, which are carving out leading positions in their sectors, from their regional bases.

“Our VCTs continue to bridge a funding gap for smaller, dynamic businesses seeking to accelerate growth and, in doing that, they boost the regional and national economies. We now look forward to helping more businesses fulfil their potential.”