Octopus to get tentacles round Hammond-backed fintech fund

One among Britain’s main enterprise capital buyers is near unveiling a deal to take over a nascent fintech fund which counted Lord Hammond, the previous chancellor, amongst its advisors.

Sky Information has learnt that Octopus Ventures has provisionally agreed to soak up the Fintech Progress Fund (FGF), which boasted of monetary commitments from Barclays, the London Inventory Change’s guardian firm, Mastercard and NatWest Group after it was arrange three years in the past.

The FGF has struggled to hit its unique fundraising goal and has but to formally disclose any investments.

Sources near numerous its buyers mentioned it was anticipated to be taken over by Octopus Investments within the coming weeks, with the transaction to be accomplished by the top of June.

The FGF was initially conceived as a automobile that will again high-potential UK-based fintechs, largely between their Sequence B and pre-public itemizing rounds of funding.

In keeping with an announcement made in August 2023, it aimed to make between 4 and eight investments yearly, with cheques of between £10m and £100m.

Along with Lord Hammond, the FGF’s advisory board included Dame Jayne-Anne Gadhia, the previous Virgin Cash boss; Dame Helena Morrissey, the previous Authorized & Normal Funding Administration govt; Lord Grimstone, the previous commerce minister; and Sir Charles Bowman, former Lord Mayor of London.

Octopus Investments, which is now run by Erin Platt, the previous boss of Silicon Valley Financial institution UK, is claimed to have important ambitions for the FGF, which has constructed a prolonged pipeline of potential investments.

A spokesperson for Octopus Investments declined to remark this weekend, whereas the FGF couldn’t be reached for remark.