Praetura Ventures and Par Equity have merged to form PXN Group, a £670 million investment firm. The main purpose behind the merger is to strengthen regional UK venture capital funding. PXN Group will be based out of current offices in Manchester, Edinburgh, Leeds, and London. Through the combined firm, they will have 115 portfolio companies under management without changing any of the fund mandates.

The purpose of the new PXN Group is to put UK regional VC funding firmly in the spotlight. It aims to launch additional initiatives aimed at turning Northern-founded innovations into global enterprises. The Coalition plans to expand its reach in the public sector through partnerships and offerings to retail investors.

Formation and Leadership

Dave Foreman, the founder of Praetura Ventures, assuming the role of CEO of PXN Group. Paul Munn, who co-founded Par Equity in 2008, will serve as Executive Chair.

Praetura Ventures was founded in 2019 by Dave Foreman. Its creators’ vision was to give founders more than just cash. Innovate UK backed the firm’s investment strategy with a £100 million NPIF II North West Equity Fund mandate. It now manages one of the UK’s first regionally focused Venture Capital Trusts (VCTs).

Par Equity has an unusual hybrid model. It’s an interesting place that mashes up discretionary funds with a terrific angel network.

"This isn’t just a merger – it’s the start of something greater." - Dave Foreman, CEO of PXN Group

Strategic Objectives

PXN Group hopes to drive exits and reinvestment cycles throughout their regional ecosystems. This will all be delivered by scaling the AUM to £670 million. Earlier this year in 2023, PXN Group opened the gateway to raising a £75 million institutional Scale-Up Fund. In addition, the firm is the largest commercial partner by investment into the British Business Bank’s Regional Angels Programme.

The recently announced merger of Praetura Ventures with Scotland-based Par Equity is an example of a strategy to combine resources, reach, and expertise. By blending each other’s strengths, PXN Group is uniquely positioned to offer deeper support to regional startups. This means not just funding them financially, but with strategic direction and access to a wider array of resources.

The emphasis on driving exits is especially notable. Successful exits mean that founders now have capital that they can and want to reinvest back into the startup ecosystem. This moves us into a virtuous cycle of growth and innovation.

"the big thing the early-stage ecosystem really needs is to start seeing on a regular basis really successful exits that founders have taken capital, created something consequential, exited and then reinvested back into the startup ecosystem." - Paul Munn, Executive Chair of PXN Group

Regional Impact

PXN Group’s regional-centric commitment marks a reaction to the widely-discussed and acknowledged shortage of regional funding opportunities beyond the M25. The firm is passionate about establishing the North of the UK as a breeding ground for globally significant companies. Making this potential a reality requires strong financial investment and support infrastructure.

"We’ve always believed the North can produce globally significant companies – but it needs the right capital and support." - Dave Foreman, CEO of PXN Group

PXN Group is moving into public sector partnerships and retail investor products. This ambitious step makes clear their desire to find new sources of funding and a new audience. By working in collaboration with public entities, the firm can access even more resources and expertise. This can improve the financial performance of its investments. Providing products that can be offered to retail investors opens the door for a wider variety of people to help support the success of emerging regional startups.

That’s led the firm to buckle under growth in cities like Manchester, Edinburgh, Leeds and London. This strategic presence allows it to plug into localized talent pools and regional strengths. This multi-location strategy allows PXN Group to be grounded and more physically connected to the region’s unique needs and opportunities.