The University of Nottingham

The University of Nottingham has signed an agreement with Fusion IP plc, which will allow the company to invest in the University’s emergent spin-out companies.

Fusion IP specialises in commercialising intellectual property arising from university research. The company has just announced that it has raised funding of £20 million through a share issue to new and existing institutional shareholders.

Fusion will receive equity stakes in any spin-out companies it invests in on pre-agreed terms. It will provide business building expertise and mentoring to emergent companies, as well as access to its other co-investment networks.

Fusion will also draw on the funds to invest in new spin-out companies from their existing partner universities.

The University of Nottingham has formed more than 40 spin-out companies and currently has a portfolio of 28 companies, 16 of which have products or services in the market place and which between them have raised over £50 million in external investment in recent years.

This new agreement will be complementary to the University’s Nottingham Angels network which has co-investment rights under the agreement and the £37 million Nottingham Investment Fund which will launch in April of this year.

The University of Nottingham has a long history of innovation, going back to the invention of MRI in the 1980s by Sir Peter Mansfield, which underpinned the creation of the MRI industry.

Pro-Vice-Chancellor for Knowledge Exchange, Professor Chris Rudd said: “I am delighted to have entered into this agreement with Fusion IP plc. The University has a pipeline of innovative technologies and this relationship will be important to helping to realise their full economic impact.”

Dr Susan Huxtable, Director of Intellectual Property Commercialisation at The University of Nottingham added: ‘‘Fusion’s successful fundraising is evidence of the support and confidence the sector has in the potential of university technologies to help grow the economy. The access to both management expertise and funding that Fusion brings is critically important for supporting emergent spin-out companies.”

David Baynes, CEO of Fusion IP plc said: “As a top 10 Russell Group university, Nottingham will provide a source of high quality investment opportunities. We look forward to working with the Nottingham technology transfer team and making our first investments.”