23 million in extra investment capacity when Saminvest matches Propel Capital investors
Six business angels in Sting’s business angel company Propel Capital IV are the first in Sweden to get a co-investment agreement with Saminvest in an initiative where Saminvest undertakes to invest up to 23 MSEK together with the selected business angels when they make direct investments in Propel Capitals portfolio companies, as a complement to the business angels’ own investments for the same amount.
Propel Capital IV is a business angel company linked to Sting, the leading ecosystem for startups with high growth potential in the Nordic region. Propel Capital allows business angels to become indirect shareholders in a large number of promising startups. The angels also have the opportunity to make direct investments in their favourite Propel Capital companies. Saminvest has invested 8 MSEK in Propel Capital IV and, as a complement to this direct investment, Saminvest will now match the continued investments of selected business angels in Propel Capital IV’s portfolio companies.
“Our goal is to improve the growth opportunities for promising innovation companies until they become investment ready for major venture capital players,” says Peder Hasslev, CEO of Saminvest.
The selection criteria for getting a co-investment agreement include previous experience of making investments in startups, willingness and capacity to make investments going forward and that the business angel is judged to be an active and serious investor in companies she or he has backed. The six business angels who are the first to get a co-investment agreement are Lars Appelstål, Anders Göransson (via Soläng Invest), Lars Lindgren, Anna Ljungbergh, Boel Rydenå Swartling and Mattias Weinhandl.
“We are very happy that we are now live with the co-investment agreement and that our companies get even better financing opportunities. It is a highly qualified group of investors who are the pioneers in this important initiative and we hope that additional Propel Capital investors will eventually join the co-investment structure,” says Maria Ljungberg, Head of Investor Relations at Sting and Propel Capital.
Lars Lindgren is one of Sweden’s most seasoned business angels, with experience of more than 60 investments in unlisted companies. “With a co-investment agreement, a business angel can effectively double its investment volume, which will make the financing rounds less time-consuming for the entrepreneurs, thus providing for more time to what really builds value, that is, doing business,” says Lars.
Boel Rydenå Swartling, Investor and Entrepreneur, comments “It is very positive that Saminvest chooses to back business angels with the aim of contributing to the growth of young companies. With this agreement, I will be able to contribute my capital and expertise to more companies in the areas that I am passionate about, i.e. companies that have a positive impact on, for example, the environment, equality and integration,” says Boel.
“The business angels play a key role in the financial ecosystem. With this initiative, we strengthen the financing capacity of the angel investors and will in this way contribute to the growth of a number of startups,” says Erik Wijnbladh, Head of Fund Investments at Saminvest.
The management of both the investment in Propel Capital IV and Saminvest’s additional investments in Propel Capital IV companies is managed by Sting.
Maria Ljungberg, Head of Investor Relations at Sting: email@example.com, 0708-36 22 31
Peder Hasslev, CEO Saminvest, firstname.lastname@example.org
Erik Wijnbladh, Head of Fund Investments Saminvest: email@example.com
Saminvest is an investment company with the mission is to stimulate the innovation economy in Sweden by indirect investments. This implies that innovative and fast-growing companies will get improved access to both capital and active ownership. Saminvest invest together with national and international private investors on a pari passu basis and thereby increasing funding availability, risk-taking capability, investment expertise and network access. We primarily focus on emerging teams managing the venture capital and growth funds of tomorrow. Saminvest also holds two fully owned subsidiaries Fouriertransform AB and Inlandsinnovation AB.
About Sting and Propel Capital
Since 2002, Sting has helped entrepreneurs to develop their business ideas into successful growth companies. We offer startups financing, business development support and world-class networks. Sting has supported over 240 startups, of which 70 percent continue to grow and grow today. Together, all Sting companies have a turnover of over SEK 2.1 billion. In addition, they have created over 1800 jobs. Linked to Sting is Propel Capital, which since its inception in 2014 through Propel Capital I, II III and IV has invested nearly SEK 25 million in over 70 STING companies. The portfolio includes companies such as Sellpy, Signal Signal, DP Organizer, Elly Pistol, Sniph, Airinum and Sudio.