Impact X Capital Partners announced this week that Bank of America is investing equity in its IX Global I fund. The firm is a double-bottom-line venture capital firm headquartered in London, founded in 2019. The firm focuses on investing in underrepresented innovators in Europe, particularly women and founders of colour, in key sectors such as digital and technology, health, education and well-being, and media and entertainment.
The company's founding members include Ursula Burns, former CEO of Xerox and the first Black woman to head a Fortune 500 company; Sir Lenny Henry; and Ric Lewis, chairman of Tristan Capital Partners, a London-based real estate investment firm.
The fund will address access to capital inefficiency by investing in founders and startups across the UK and Europe, which are led by women and entrepreneurs of colour.
In a move that underscores a growing awareness of the significant ROI potential of investing in historically underrepresented groups, Bank of America is joined by the Visa Foundation, Guy's and St Thomas' Foundation and Atomico in investing in the fund.
Bernard Mensah, President of International, Bank of America, said:
Bank of America's investment in Impact X's IX Global I fund underscores our ongoing commitment to advance economic opportunity for diverse people and communities. We look forward to working with Impact X to create long-term shareholder value and a more equitable and sustainable future for all.
Eric Collins, CEO and Impact X Founding Partner, said:
At Impact X, our purpose has always been to create ROI and future-resistant jobs by supporting and empowering innovators who have historically been underrepresented in the portfolios of other venture capital companies.
Our mission is to shine a light on the market inefficiency in the UK and Europe; this collaboration will lean into that inefficiency.
This historic capital allocation not only validates our track record but also equips us with the resources to make a lasting impact on diverse-led businesses.
Paula Groves, Founding Partner and Chief Investment Officer, added:
Until underrepresented entrepreneurs reach economic parity in terms of access to and allocation of capital, this work will continue to be very important.
The persistent statistics over the last 25 years have shown that less than 4 per cent of venture capital goes to women and less than 1 per cent to Black entrepreneurs.
With our other partners, Impact X plans to make a powerful increase in these stats.
This is Impact X's second fund. Its pilot fund, Impact X Launch, included outstanding founders and companies such as Marshmallow, device subscription startup Raylo, and epic superhero fantasy series IYANU from YouNeek Studios.
Lead image: Impact X CEO Eric Collins. Photo: uncredited.
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