ImpactAlpha, November 6 – New Zealand isn’t the easiest market for impact investing and fundraising. It’s small, and investors note a slim deal pipeline as a challenge. But there’s investor appetite, which startup investment network Enterprise Angels is capitalizing on with a dedicated impact fund.
Its fund, Purpose Capital, has reached a first close of NZ$20 million ($12.8 million) from philanthropic organizations, companies and individuals including: Tindall Foundation, K1W1, WEL Energy Trust, BayTrust, and TECT, New Zealand’s Scoop reports. It’s looking to invest in regenerative agriculture, city transportation, housing and community initiatives.
Enterprise Angels doesn’t expect pipeline to come easily and will lean on catalytic philanthropic capital in the fund to “shape opportunities for investment,” according to founder Bill Murphy.
But the environment that Enterprise Angels operates in is likely to evolve over the next few years, too, because of incentive programs like New Zealand’s impact work visa. The scheme–the first of its kind–aims to attract “entrepreneurs, investors and change makers building positive global impact solutions” by offering them a pathway to permanent residence status.