GrowthCap is pleased to announce the launch of our end-to-end solution for established growth companies. The initial platform provides companies with two distinct services: investor research and deal management. With research on over 3,000 institutional investors, including hundreds of family offices, companies can perform diligence on growth capital providers and narrow in on those who can add the most value to their business. The deal management service allows companies to run a discreet capital raising process by leveraging technology to track investor interest, confidentially invite investors, and manage access to deal documents and diligence materials. The initial opportunities on the platform total $50M of value in market and include companies in industries such as technology, media, financial services, infrastructure, and energy. See the full press release below:
New York, NY (PRWEB) January 7, 2013 – GrowthCap announced today the launch of its private equity deal platform where established private companies can raise growth capital from institutional investors and family offices. The platform opens with over $50 million of live deals in market. GrowthCap is the first of its kind, offering companies a complete end-to-end capital raising solution by combining its platform technology with highly experienced professional deal execution.
Founded by RJ Lumba, who made his career raising over $2 billion for private companies while working for leading investment banks and economic development firms, GrowthCap was created to dramatically reduce the amount of time, effort and cost typically involved in a capital raise process. In 2012, there were over $350 billion in private company offerings, and 87% of issuers did not use an advisor or placement agent. “The large majority of private companies choose to raise capital on their own and really struggle with the process over a period of several months,” said Lumba. “The process is all-consuming and completely distracting for company owners and executives. We wanted to help solve this problem.”
GrowthCap provides companies with two distinct services: investor research and deal management. Its research includes information on over 3,000 institutional investors including hundreds of family offices. “Until now, private company owners and executives simply did not have an easy way to identify all the relevant investors interested in their sector, geography and business stage among other key attributes,” said Lumba.
While any company can access GrowthCap’s investor research, only select companies will be approved for its deal management platform where institutional investors view investment opportunities. Access to the platform is reserved for companies looking to raise between $10 million to more than $75 million and who meet certain key criteria pertaining to management team experience, financial history, projected growth, market dynamics, competitive advantage and operational strength.
Finding a more efficient means for private companies to raise capital has shifted into focus recently, especially with the passing of the JOBS Act and proliferation of different online funding platforms. “There are a variety of options available for those looking to raise early stage seed and angel funding, such as AngelList, but the more mature institutional growth capital market remains out of reach for the vast majority of companies, and existing solutions still center on the costly and time-consuming model of hiring a traditional investment banker,” said Lumba.
GrowthCap presents private companies with a new solution providing a full suite of tools and professional assistance to efficiently connect with growth capital investors.
GrowthCap connects established private companies to institutional investors and family offices. Led by a team of seasoned investment banking and technology professionals who have developed the optimal capital raising process, GrowthCap combines financial technology and highly experienced professional execution. Its services enable companies to identify relevant institutional and family offices in the U.S. and internationally, perform in-depth research on investment professionals, coordinate a confidential and discreet deal process, and receive active guidance and support from a GrowthCap investment banking professional.
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