Key Takeaways
- • IA Capital Group has reached an initial close on its 11th fund, the Inter-Atlantic Opportunity Fund I, with Australian insurer QBE Insurance Group as anchor investor.
- • The fund will target fintech and insurtech businesses primarily at Series B and later stages, seeking to address a shortage of growth capital and liquidity for established companies.
- • The strategy combines primary investments in companies familiar to IA Capital with secondary purchases from existing shareholders seeking liquidity, including corporate venture investors that have scaled back.
- • IA Capital has completed two investments through the fund so far: Panacea (US) and Aurora (UK).
- • The firm, founded in 2000, has completed 73 fintech and insurtech investments and manages three multi-investor funds involving 23 insurers plus two single-investor funds for Prudential Financial and Goldman Sachs Alternatives.
Summary
New York-based IA Capital Group, a venture capital firm focused on fintech and insurtech, has secured an initial close of its 11th fund, the Inter-Atlantic Opportunity Fund I, with Australian insurer QBE Insurance Group serving as anchor investor, according to Crowdfund Insider. The fund will target fintech, insurtech and related businesses, primarily at Series B and later stages. IA Capital said the fund will invest in businesses with established revenues, an area where generalist and corporate investors have reduced their exposure in recent years, and aims to address a shortage of growth capital and liquidity for established companies.
The strategy pairs primary investments in companies already familiar to IA Capital through its existing portfolio and network with secondary purchases from existing shareholders seeking liquidity. These sellers may include corporate venture investors that have scaled back their activities. The investment team, led by General Partner Ravi Shah, has completed two investments through the fund to date: Panacea, a US-based financial platform serving doctors, dentists and veterinarians, and Aurora, a UK-based platform that uses algorithms to automate property and casualty insurance underwriting.
QBE is backing the fund through QBE Ventures, its corporate venture development and investment arm. The commitment complements the insurer's direct investment strategy, which focuses on strategic partnerships with technology companies that can support its global operations. QBE Ventures Chief Executive James Orchard said the fund would provide access to opportunities that corporate investors might find difficult to pursue directly, noting that some corporate venture programmes had retreated because their investments were not sufficiently connected to parent companies' core businesses.
IA Capital Managing Partner Andy Lerner said the firm aims to give corporate investors a more flexible route to financial technology exposure, drawing on its investment experience, infrastructure and industry network. Founded in 2000, IA Capital has completed 73 investments across fintech and insurtech and has maintained strategic investment relationships with insurers since 2014. Beyond the new fund, it manages three multi-investor funds involving 23 insurers and two single-investor funds for Prudential Financial and Goldman Sachs Alternatives.
The strategy pairs primary investments in companies already familiar to IA Capital through its existing portfolio and network with secondary purchases from existing shareholders seeking liquidity. These sellers may include corporate venture investors that have scaled back their activities. The investment team, led by General Partner Ravi Shah, has completed two investments through the fund to date: Panacea, a US-based financial platform serving doctors, dentists and veterinarians, and Aurora, a UK-based platform that uses algorithms to automate property and casualty insurance underwriting.
QBE is backing the fund through QBE Ventures, its corporate venture development and investment arm. The commitment complements the insurer's direct investment strategy, which focuses on strategic partnerships with technology companies that can support its global operations. QBE Ventures Chief Executive James Orchard said the fund would provide access to opportunities that corporate investors might find difficult to pursue directly, noting that some corporate venture programmes had retreated because their investments were not sufficiently connected to parent companies' core businesses.
IA Capital Managing Partner Andy Lerner said the firm aims to give corporate investors a more flexible route to financial technology exposure, drawing on its investment experience, infrastructure and industry network. Founded in 2000, IA Capital has completed 73 investments across fintech and insurtech and has maintained strategic investment relationships with insurers since 2014. Beyond the new fund, it manages three multi-investor funds involving 23 insurers and two single-investor funds for Prudential Financial and Goldman Sachs Alternatives.
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