Ngāi Tahu hands Movac its $110M venture strategy in AI push
What's the deal? New Zealand iwi Ngāi TahuDealroom has a profile for this one. Try Dealroom → has appointed Wellington venture capital firm MovacDealroom has a profile for this one. Try Dealroom → to manage its portfolio of 18 technology startups. The iwi holds around $40 million in tech, split between direct investments and money placed into Movac's funds.
The details: Ngāi Tahu has invested $35 million across Movac's fund stable, including $10 million in the firm's $200 million (about $110 million) Growth Fund 7. Movac will now manage the iwi's venture capital strategy and hunt for new deals.
Why now? Ngāi Tahu wants exposure beyond its traditional base of property, farming, and forestry, which dominate its US$1.37B portfolio. Artificial intelligence is a key target.
What's the endgame? "AI is an area where there's a lot happening in New Zealand, but it's one where we don't have investment expertise, so we've partnered with Movac, who do bring that knowledge," said Ngāi Tahu Holdings chief executive Todd Moyle. Successful startups would draw follow-up investment, though Moyle declined to name figures.
The iwi's existing New Economy holdings include nuclear fusion startup OpenStarDealroom has a profile for this one. Try Dealroom →, e-waste recycler Mint Innovation, Tend HealthDealroom has a profile for this one. Try Dealroom →, and Zethos. Separately, long-time One NZDealroom has a profile for this one. Try Dealroom → chief executive and current Les Mills InternationalDealroom has a profile for this one. Try Dealroom → boss Jason Paris recently joined the board of Ngāi Tahu Holdings.
What could go wrong? Startup investing is high-risk. Ngāi Tahu's direct stake in Movac Fund 4 company NanolayrDealroom has a profile for this one. Try Dealroom →, a nanofibre textile startup, was wiped out when the firm collapsed in October last year.
The signal: "We've had a long-standing relationship with Ngāi Tahu Holdings as an investor in our funds, and we are incredibly proud to take this next step in managing their venture capital strategy," said Movac general partner Mark Vivian. Movac's track record includes early backing of Trade MeDealroom has a profile for this one. Try Dealroom →, sold to FairfaxDealroom has a profile for this one. Try Dealroom → for $720 million, and Vend, sold for $455 million. The tie-up marks a shift as one of New Zealand's largest iwi investors moves deeper into the new economy.
Read more: nzherald.co.nz
Image credit: Generated with Gemini
