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Venture Capital Takeover: Braveheart (BRH) Vs. ANGLE (AGL)

Today's Financial News - Posted July 24, 2008

“Today finance is hard to come by, and the new issue market has slowed to a crawl. One company that has made a move to do something about this is the Braveheart Investment Group (BRH:London), which, as the name suggests, is a Scottish outfit.” — Tom Bulford

by Tom Bulford

Baltimore — (TFN): These are tough times for the private equity industry, that shady group that provides venture capital for private companies both finance and advice of uncertain value.

Key to the success of many private equity firms is their ability to source the capital required to support their investee businesses and also a buoyant small company section of the stock market on which these companies can eventually be floated.

Today finance is hard to come by, and the new issue market has slowed to a crawl.

One company that has made a move to do something about this is the Braveheart Investment Group (BRH:London), which, as the name suggests, is a Scottish outfit.

Venture capitalist Braveheart gathers funds from individuals and other private and public sector sources and invests them into about ten new situations each year, concentrating on emerging technologies, some of which “emerge” from University research.

Its shares have fallen by some 40% since Braveheart came onto AIM last March, but if this is disappointing it is nothing compared to the experience of another private equity firm ANGLE (AGL:London), the shares of which have sunk by 80% in the four years of its stock market existence. Read on to learn why.

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