Inveready launches a fund to invest directly in alternative stock markets

Inveready takes a new step in its growth and diversification strategy. The Barcelona-based manager has just registered with the National Securities Market Commission (CNMV) a 20 million euro investment vehicle to invest for the first time directly in the capital of companies listed on alternative markets, such as BME Growth ---the former MAB---, Euronext Growth, AIM Italia or AIM London. Until now, it had invested in this type of companies through debt instruments, such as convertible bonds.

In fact, Inveready Alternative Markets (Alma) comes after the good performance of its first fund focused on European alternative markets, Inveready Convertible Finance I, and the positive reception of its successor, created last February, Inveready Convertible Finance II, worth 50 million euros. Both have opted for financing the growth plans of listed companies through the acquisition of convertible bonds issued by groups such as MásMovil, Gigas Hosting, Atrys Health, VozTelecom or Agile Content.

"Having a pure equity fund like Alma dedicated to investing in companies listed on alternative markets represents a great qualitative leap for Inveready by making us a One-Stop Shop provider of financing solutions for listed companies and at the same time allows us to consolidate ourselves as a leading institutional investor in the alternative markets of Southern Europe," says the president of the manager, Josep Maria Echarri. For the fund's director, Rubén González, Alma will allow them to take advantage of "the inefficiency of this market segment due to the lack of liquidity, follow-up by the investment community and information asymmetry, which translates into an opportunity to generate above-average market returns through an active management strategy."

Specifically, Alma will invest between one and two million euros in growing listed companies by participating in capital increases, shareholder reorganization processes, granting capital lines or block trading of shares. The new investment vehicle will be able to co-invest simultaneously with Inveready Convertible Finance II.

To bet on listed companies through this new fund, Inveready will set absolute return targets and potential returns greater than 1.5x times the invested amount. The intention is to find companies that are trading below their intrinsic value and that do not reflect their growth potential.

With Alma, Inveready far exceeds 100 million euros under management to invest in companies listed on European alternative markets after the launch of Inveready Convertible Finance II. The Barcelona-based venture capital firm has 136 active companies and more than 400 million euros under management.