QIC partners with Main Sequence in local VC push

Main Sequence, the Australian deep tech investment fund founded by Australia’s national science agency CSIRO, will increase its Queensland focus under a new partnership with Queensland Investment Corporation (QIC).

The fund has secured funding under the QIC-managed Queensland Venture Capital Development Fund (QVCDF) to invest in promising local start-ups and attract third-party investment.  

Cornerstone funding from the Queensland Government is being matched by investors into a select group of leading venture capital funds to supercharge investment into innovative Queensland companies.    

QIC Private Equity Partner Nicholas Guest said Main Sequence’s expertise, networks and capital will deliver significant benefits under the QVCDF program.    

“As we come together to help close the identified early-stage funding gap in Queensland, investors like Main Sequence will play a central role in accelerating and enhancing Queensland’s venture capital industry,” Mr Guest said.

“With a strong portfolio of companies changing the way healthcare is delivered, food is produced, spaces are connected and energy is generated, they bring a demonstrated track record of commercialisation in the deep tech space.  

“It’s a thematic that Queensland ingenuity excels in, so we’re excited to make more capital available in conjunction with Main Sequence to take more local innovation global.  

“In doing so, businesses will not need to leave our state to pursue funding elsewhere – they can establish, grow and remain in Queensland.”

Main Sequence has been investing in Queensland deep tech companies since founding in 2017, including a number of world-leading Queensland companies like Emesent, Gilmour Space Technologies, Endua and Plotlogic.

Main Sequence Investment Manager Alezeia Brown said they were looking forward to strengthening their participation in the local ecosystem and continuing to invest in great companies originating from Queensland.

“We believe there are great opportunities to build entirely new industries in Queensland and catalyse the transformation of the state’s traditional strengths into sustainable leaders,” Ms Brown said.

“By drawing on world-class research and talent, these industries will benefit Queensland and Australia with new jobs and create the valuable planetary positive companies of the future.

“We see enormous momentum building in the bioeconomy, energy transformation, critical minerals and space sectors and we look forward to being part of this exciting journey.”

In response to significant demand for the QVCDF, the Queensland Government has committed a further $55 million to expand the now-$130 million program.  

QIC will deploy the additional funding to increase commitments to certain shortlisted venture capital funds and due diligence will commence on others to increase the thematic coverage of QVCDF investments.

The Queensland Venture Capital Development Fund comprises three core elements:

• Matched Funding – Queensland Government’s cornerstone funding to support matched funding into appointed venture capital funds.
• Accelerator Funding – a series of accelerator programs to increase deal flow for Queensland investors.
• Development Program - the appointed venture capital funds and accelerators will participate in the QVCDF Development Program to accelerate, develop and enhance the venture capital industry in Queensland.