The new fund, called Pentech Ventures, is looking to fund U.K.- and Ireland-based companies in the wireless and storage markets. Pentech has raised 12 million (US$17 million) so far and plans to close the fund at between $21.2 million and $28.3 million.
We will certainly look at a company in the data storage space; its one of the hottest segments now, says Eddy Anderson, director and co-founder of the fund. He adds that they are particularly interested in the software side of the business.
Its a great time for us now as the sluggish economy means lots of the VCs in the U.S. are retrenching rather than investing, but theres still an abundance of good technology companies out there looking for money, says Anderson. In three days theyve seen a dozen companies already, many of them coming out of the universities in Scotland. Most of them are wireless plays -- no storage firms yet.
Pentech plans to invest from $250,000 to $1 million across 10 to 12 companies in any one round. But dont go booking the Caribbean cruise just yet: The criteria for investment are rigorous.