MCI Management has set out to streamline the structure of MCI Group. The first initiative is to merge the funds MCI.CreditVentures and MCI.BioVentures, forming a single investment vehicle.
As part of the structure optimisation exercise, the operations of MCI.CreditVentures are to be technically phased out, and its assets will be transferred to MCI.BioVentures. As at the end of 2013, the latter has only Genomed in its portfolio as a result of the transfer of Biotech Varsovia Pharma to the portfolio of MCI.TechVentures and of the disposal of Internetowy Dom Zdrowia. The new entity will be named MCI.CreditVentures.
After the completion of the first reorganisation project, three evergreen funds, i.e. funds which invest and raise funds for investments on an ongoing basis, will remain within MCI Group, along with two commitment funds with a fixed investment horizon shared with Krajowy Fundusz Kapitałowy (National Capital Fund) which invest in companies at the early stage. As part of the restructuring exercise, MCI Group additionally contemplates establishing two new commitment funds in the future.
‘Merging two funds in a single investment vehicle will allow us to streamline the structure of the Group and to save on administrative expenses. A lower cost base, in turn, will help us pursue our investment strategy in an even more effective manner’, commented Wojciech Marcińczyk, Member of the Management Board of MCI Management responsible for fund raising and for the management of the closed-end management fund MCI.CreditVentures at MCI Group.
The MCI investment strategy is implemented through early stage, growth and expansion funds, and is supported by three growth pillars:
1) So-called digital disruption investments
MCI contemplates and carries out investments in pure-play internet business models (so-called pure players). MCI forecasts that the strongest growth will be recorded in the following segments: digital media, e-commerce, marketplaces, Fintech, Internet of Things, Software as a Service, cloud computing, mobile internet and digital entertainment.
2) So-called digital ecosystem investments
MCI considers investments in companies operating on the internet infrastructure development market, such as telecoms and data storage centres.
3) So-called digital adaptation investments
MCI provides investment support to companies which, being already well established in the traditional economy, aspire to become European- and global-level players using opportunities offered by the internet. The fund is searching for companies with the potential to be as successful as Polish champions such as Empik.com, mBank and GPW.