The Federal Government's Innovation Investment Fund has invested $60 million in  three innovation fund managers — Carnegie Venture Capital Pty Ltd, the Medical Research Commercialisation Fund and Southern Cross Venture Partners Pty Ltd.

 

The Carnegie Innovation Fund will focus on early-stage internet and media technology, and medical device companies. Carnegie Innovation Fund has committed capital of $40 million, and is expecting to make investments of between $500,000 and $4 million.

 

The Medical Research Commercialisation Fund (MRCF) is a collaboration between investors and twenty-nine leading Australian medical research institutes and their affiliated research hospitals, and is supported by the Victorian, NSW, WA and Queensland state governments.

 

The MRCF IIF will provide seed funding to support the development and commercialisation of innovations emanating from its member institutes, and will further support the most promising companies, following the seed investment, to a stage where they can be partnered or attract capital from the more traditional venture capital sources. The existing investors have committed to supporting the MRCF IIF and will provide the $20 million of required matching private capital.

 

The Southern Cross IIF Fund is a Australian-US-China early stage fund focusing on the IT, telecommunications, clean technology and materials sectors.

 

Innovation Minister Senator Kim Carr said innovation fund managers play a key role in helping smart start-up companies get their products and services into national and international markets.

 

"These fund managers will invest in new companies that are commercialising Australian research and development," he said.

 

"The Innovation Investment Fund complements other Australian Government support programs like Commercialisation Australia and the proposed R&D Tax Credit. The range of programs available ensures Australian companies are supported at all stages - from start-up stage to market," Senator Carr said.

 

More information on the new fund managers can be found here. Information on the Innovation Investment Fund is here.