NJEDA approves investment to support state's innovation ecosystem

Matthew Fazelpoor//September 26, 2022//

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The New Jersey Economic Development Authority (NJEDA) announced Sept. 23 that its board approved investing up to $1 million into the Innovate Capital Growth Fund (ICGF).

The ICGF, which marks the NJEDA’s 21^st venture fund investment approval, is a Delaware limited partnership that was created last year to provide growth capital to minority- and women-owned businesses located in the Mid-Atlantic region.

ICGF is expected to invest an addition $2 in companies based in the Garden State for every $1 the NJEDA commits.

“ICGF’s investment strategy aligns perfectly with Gov. Phil Murphy’s vision to create the most diverse and inclusive innovation ecosystem in the nation,” said NJEDA Chief Executive Officer Tim Sullivan. “Through investments such as this one, we are providing much-needed capital for young companies to leverage as they grow, commercialize, and create good-paying jobs in New Jersey.”

New Jersey Economic Development Authority's Founders and Funders event — The New Jersey Economic Development Authority’s Founders and Funders event works in a speed dating format, with about 35 companies and more than 25 investors rotating in 10-minute matchmaking pitches.

To date, the NJEDA has committed more than $64.5 million to 20 venture capital funds since 1999 — not including this latest approval.

The Fund will be managed by Innovate Capital Growth GP LLC, which is owned in part by The Enterprise Center (TEC).

ICGF managers participated in the NJEDA’s New Jersey Founders & Funders event in June, chronicled by NJBIZ, where they met one-on-one with emerging innovation-focused companies.

“In recent years, New Jersey has shown a strong commitment to bolstering opportunities for minority- and women-led businesses and we are excited to have the NJEDA as one of ICGF’s investors,” said ICGF Co-Managing Partner and TEC President Della Clark. “We have been continually impressed with the high-caliber startups we have found in New Jersey and are proud to bolster our ability to support these emerging companies through this fund.”