Fund Management Services for North East Early Stage Equity Fund

{
  "id": "025740-2026",
  "tag": [
    "award",
    "contract"
  ],
  "bids": {
    "statistics": [
      {
        "id": "1",
        "value": 3,
        "measure": "bids",
        "relatedLot": "1"
      }
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  },
  "date": "2026-03-20T12:34:16Z",
  "ocid": "ocds-h6vhtk-04b044",
  "buyer": {
    "id": "GB-COH-10441614",
    "name": "THE NORTH EAST FUND LIMITED"
  },
  "awards": [
    {
      "id": "025740-2026-1",
      "title": "Fund Management Services for North East Early Stage Equity Fund",
      "status": "active",
      "suppliers": [
        {
          "id": "GB-COH-03249066",
          "name": "Mercia Regional Ventures Limited"
        }
      ],
      "relatedLots": [
        "1"
      ]
    }
  ],
  "tender": {
    "id": "TNEFL/2024/2",
    "lots": [
      {
        "id": "1",
        "status": "cancelled",
        "options": {
          "description": "The contract can potentially last for 25 years but that is based on it being extended during its term, which will be initially for 10 years but - subject to performance, market demand and availability of capital - is expected to be extended by at least 10 years, on the basis set out in the Information Memorandum, and draft contract documents."
        },
        "hasOptions": true,
        "description": "The procurement process was conducted in accordance with the Public Contracts Regulations 2015 (as amended), using the Competitive Procedure with Negotiation as detailed in Regulation 29 of those Regulations.\nThe Purpose of the procurement was to procure the services of a single FCA regulated fund manager. The contract has an initial duration of 10 years but can be extended by up to a further 15 years, to 25 years in total.\nThe contract value stated in this Contract Award Notice is based on the initial 10 year period and the actual amount paid during that period may vary depending on the overall quantum of capital ultimately committed to the fund and on the profile of exits from, and impairments to, portfolio companies.",
        "awardCriteria": {
          "criteria": [
            {
              "name": "As per ITN",
              "type": "quality",
              "description": "65"
            },
            {
              "name": "As per ITN",
              "type": "cost",
              "description": "35"
            }
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        }
      }
    ],
    "items": [
      {
        "id": "1",
        "relatedLot": "1",
        "deliveryLocation": {
          "description": "The North East of England, being the seven Local Authority areas of: Northumberland; North Tyneside; South Tyneside; Newcastle; Gateshead; Sunderland and County Durham."
        },
        "deliveryAddresses": [
          {
            "region": "UKC"
          }
        ],
        "additionalClassifications": [
          {
            "id": "66122000",
            "scheme": "CPV",
            "description": "Corporate finance and venture capital services"
          }
        ]
      }
    ],
    "title": "Fund Management Services for North East Early Stage Equity Fund",
    "status": "complete",
    "legalBasis": {
      "id": "32014L0024",
      "scheme": "CELEX"
    },
    "description": "The North East Fund seeks to appoint a professional, FCA authorised fund management organisation to deliver an early stage venture capital fund in the North East of England. The fund will address the persistent market gap in the provision of relatively small amounts of finance to early-stage and innovative SMEs in the North East of England. In so doing, it will help to unlock regional growth, build confidence in the SME business base and ensure the region is a great place to start-up and scale a business.\nThe Fund has the working title of \"Early Stage Equity Fund\" but its final name will be agreed with the appointed fund manager.\nTNEFL expects to make an initial commitment of investment capital to the Fund of £35m, which will be invested over an Initial Investment Period of c.5 years - equating to an average annual investment by the Fund of £7m during its first five years of operation. This quantum of investment, and the Fund's investment policy detailed below, is consistent with and will address the funding gaps identified by a market evaluation exercise which was undertaken during the first half of 2024.\nIn a significant development compared to previous regional investment funds, the profile of this Fund has been developed with a view to facilitating a more 'patient capital' approach to investment - by making provision for the initial 5 year investment period to be followed by further periods of new (and follow-on) investments which can potentially extend to a further 10 years. This period of up to 15 years in which the Fund can make both new and portfolio investments will be followed by a Realisation Period of up to 10 years, giving a potential contract duration of 25 years in total. This will enable the manager to provide support over a longer period than previous funds, which should be beneficial for the Fund's investee companies and should also help to maximise the financial returns to the Fund.\nThose returns, and potentially other sources of capital which may be available to TNEFL (for example, from the regional legacy funds overseen by NEA2F) will be used to facilitate the extension of the Fund's investment activity after the initial investment capital commitment of £35m is fully invested.\nThe extension of investment activity in the Further Investment Periods will be effected by TNEFL providing annual commitments of additional investment capital to the Fund which are expected to be, on average, between £3m and £6m. The actual quantum of each annual additional capital commitment will be notified by TNEFL to the manager as far in advance of the start of each one-year Further Investment Period as is possible, to enable the manager to make plans for its utilisation.",
    "classification": {
      "id": "66100000",
      "scheme": "CPV",
      "description": "Banking and investment services"
    },
    "procurementMethod": "selective",
    "mainProcurementCategory": "services",
    "procurementMethodDetails": "Competitive procedure with negotiation"
  },
  "parties": [
    {
      "id": "GB-COH-10441614",
      "name": "THE NORTH EAST FUND LIMITED",
      "roles": [
        "buyer"
      ],
      "address": {
        "region": "UKC22",
        "locality": "Newcastle Upon Tyne",
        "postalCode": "NE13PA",
        "countryName": "United Kingdom",
        "streetAddress": "Suite D, Fifth Floor West One"
      },
      "details": {
        "url": "http://www.northeastfund.org",
        "classifications": [
          {
            "scheme": "TED_CA_TYPE",
            "description": "Company owned by Local Authorities"
          },
          {
            "id": "04",
            "scheme": "COFOG",
            "description": "Economic affairs"
          }
        ]
      },
      "identifier": {
        "id": "10441614",
        "scheme": "GB-COH",
        "legalName": "THE NORTH EAST FUND LIMITED"
      },
      "contactPoint": {
        "name": "Alastair Smith",
        "email": "alastair.smith@northeastfund.org",
        "telephone": "+44 1912112313"
      }
    },
    {
      "id": "GB-COH-03249066",
      "name": "Mercia Regional Ventures Limited",
      "roles": [
        "supplier"
      ],
      "address": {
        "region": "UK",
        "locality": "Preston",
        "postalCode": "PR1 8UQ",
        "countryName": "United Kingdom",
        "streetAddress": "Preston Technology Management Centre"
      },
      "details": {
        "scale": "large"
      },
      "identifier": {
        "id": "03249066",
        "scheme": "GB-COH",
        "legalName": "Mercia Regional Ventures Limited"
      }
    },
    {
      "id": "GB-FTS-177979",
      "name": "The North East Fund",
      "roles": [
        "reviewBody"
      ],
      "address": {
        "locality": "Newcastle upon Tyne",
        "countryName": "United Kingdom"
      },
      "identifier": {
        "legalName": "The North East Fund"
      }
    }
  ],
  "language": "en",
  "contracts": [
    {
      "id": "025740-2026-1",
      "title": "Fund Management Services for North East Early Stage Equity Fund",
      "value": {
        "amount": 6570000,
        "currency": "GBP"
      },
      "status": "active",
      "awardID": "025740-2026-1",
      "dateSigned": "2025-10-20T00:00:00+01:00"
    }
  ],
  "initiationType": "tender"
}

{
  "id": "034206-2024",
  "tag": [
    "tender"
  ],
  "date": "2024-10-22T16:07:12+01:00",
  "ocid": "ocds-h6vhtk-04b044",
  "buyer": {
    "id": "GB-COH-10441614",
    "name": "THE NORTH EAST FUND LIMITED"
  },
  "tender": {
    "id": "TNEFL/2024/02",
    "lots": [
      {
        "id": "1",
        "value": {
          "amount": 19800000,
          "currency": "GBP"
        },
        "status": "active",
        "renewal": {
          "description": "The contract can potentially last for 25 years but that is based on it being extended during its term, which will be initially for 10 years but - subject to performance, market demand and availability of capital - is expected to be extended by at least 10 years, on the basis set out in the Information Memorandum, and draft contract documents."
        },
        "hasOptions": false,
        "hasRenewal": true,
        "description": "Please see the summary at Section II.1.4 for a summary of the contract and the Information Memorandum, which can be downloaded from The North East Fund's website, for details.\nThe procurement process will be conducted in accordance with the Public Contracts Regulations 2015 (as amended), using the Competitive Procedure with Negotiation as detailed in Regulation 29 of those Regulations.\nThe Purpose of this procurement is to procure the services of a single FCA regulated fund manager. As outlined in Section II.1.4, above, the contract is expected to have an initial duration of 10 years and can be extended by up to a further 15 years, to 25 years in total.\nPlease note that the contract value stated in this Contract Notice is an estimate based on assumptions regarding: the fund management fees tendered; the overall quantum of capital which will be committed to the fund; the duration of the contract and the profile of exits from and impairments to portfolio companies. As such, the ultimate fees paid under the contract could be lower or higher than the estimated contract value stated in this Contract Notice.",
        "contractPeriod": {
          "durationInDays": 9000
        },
        "submissionTerms": {
          "variantPolicy": "allowed"
        }
      }
    ],
    "items": [
      {
        "id": "1",
        "relatedLot": "1",
        "deliveryLocation": {
          "description": "The North East of England, being the seven Local Authority areas of: Northumberland; North Tyneside; South Tyneside; Newcastle; Gateshead; Sunderland and County Durham."
        },
        "deliveryAddresses": [
          {
            "region": "UKC"
          }
        ],
        "additionalClassifications": [
          {
            "id": "66122000",
            "scheme": "CPV",
            "description": "Corporate finance and venture capital services"
          }
        ]
      }
    ],
    "title": "Fund Management Services for North East Early Stage Equity Fund",
    "value": {
      "amount": 19800000,
      "currency": "GBP"
    },
    "status": "active",
    "coveredBy": [
      "GPA"
    ],
    "legalBasis": {
      "id": "32014L0024",
      "scheme": "CELEX"
    },
    "description": "The North East Fund seeks to appoint a professional, FCA authorised fund management organisation to deliver an early stage venture capital fund in the North East of England. The fund will address the persistent market gap in the provision of relatively small amounts of finance to early-stage and innovative SMEs in the North East of England. In so doing, it will help to unlock regional growth, build confidence in the SME business base and ensure the region is a great place to start-up and scale a business.\nThe Fund has the working title of \"Early Stage Equity Fund\" but its final name will be agreed with the appointed fund manager.\nTNEFL expects to make an initial commitment of investment capital to the Fund of £35m, which will be invested over an Initial Investment Period of c.5 years - equating to an average annual investment by the Fund of £7m during its first five years of operation. This quantum of investment, and the Fund's investment policy detailed below, is consistent with and will address the funding gaps identified by a market evaluation exercise which was undertaken during the first half of 2024.\nIn a significant development compared to previous regional investment funds, the profile of this Fund has been developed with a view to facilitating a more 'patient capital' approach to investment - by making provision for the initial 5 year investment period to be followed by further periods of new (and follow-on) investments which can potentially extend to a further 10 years. This period of up to 15 years in which the Fund can make both new and portfolio investments will be followed by a Realisation Period of up to 10 years, giving a potential contract duration of 25 years in total. This will enable the manager to provide support over a longer period than previous funds, which should be beneficial for the Fund's investee companies and should also help to maximise the financial returns to the Fund.\nThose returns, and potentially other sources of capital which may be available to TNEFL (for example, from the regional legacy funds overseen by NEA2F) will be used to facilitate the extension of the Fund's investment activity after the initial investment capital commitment of £35m is fully invested.\nThe extension of investment activity in the Further Investment Periods will be effected by TNEFL providing annual commitments of additional investment capital to the Fund which are expected to be, on average, between £3m and £6m. The actual quantum of each annual additional capital commitment will be notified by TNEFL to the manager as far in advance of the start of each one-year Further Investment Period as is possible, to enable the manager to make plans for its utilisation.\nPlease see the Information Memorandum for further details. It, and the accompanying documents, can be downloaded from the North East Fund website as indicated in this Contract Notice.",
    "secondStage": {
      "invitationDate": "2024-12-04T00:00:00Z",
      "successiveReduction": true,
      "noNegotiationNecessary": true
    },
    "tenderPeriod": {
      "endDate": "2024-11-22T12:00:00Z"
    },
    "hasRecurrence": false,
    "classification": {
      "id": "66100000",
      "scheme": "CPV",
      "description": "Banking and investment services"
    },
    "submissionTerms": {
      "languages": [
        "en"
      ],
      "bidValidityPeriod": {
        "durationInDays": 180
      }
    },
    "submissionMethod": [
      "electronicSubmission"
    ],
    "otherRequirements": {
      "requiresStaffNamesAndQualifications": true
    },
    "procurementMethod": "selective",
    "selectionCriteria": {
      "criteria": [
        {
          "type": "suitability",
          "appliesTo": [
            "supplier"
          ],
          "description": "Participants must be authorised and registered with the Financial Conduct Authority, or must be able to explain how they will become authorised in time to deliver the contract - as detailed in the Selection Questionnaire."
        }
      ]
    },
    "mainProcurementCategory": "services",
    "submissionMethodDetails": "https://www.northeastfund.org/business-guidance-support/",
    "procurementMethodDetails": "Competitive procedure with negotiation"
  },
  "parties": [
    {
      "id": "GB-COH-10441614",
      "name": "THE NORTH EAST FUND LIMITED",
      "roles": [
        "buyer"
      ],
      "address": {
        "region": "UKC22",
        "locality": "NEWCASTLE-UPON-TYNE",
        "postalCode": "NE13PA",
        "countryName": "United Kingdom",
        "streetAddress": "Fifth Floor, West One, Forth Banks"
      },
      "details": {
        "url": "https://www.northeastfund.org/",
        "classifications": [
          {
            "scheme": "TED_CA_TYPE",
            "description": "Company Owned by Local Authorities"
          },
          {
            "id": "04",
            "scheme": "COFOG",
            "description": "Economic affairs"
          }
        ]
      },
      "identifier": {
        "id": "10441614",
        "scheme": "GB-COH",
        "legalName": "THE NORTH EAST FUND LIMITED"
      },
      "contactPoint": {
        "url": "https://www.northeastfund.org/business-guidance-support/",
        "email": "tenders@northeastfund.org"
      }
    },
    {
      "id": "GB-FTS-3680",
      "name": "High Court of England & Wales",
      "roles": [
        "reviewBody"
      ],
      "address": {
        "locality": "London",
        "countryName": "United Kingdom"
      },
      "identifier": {
        "legalName": "High Court of England & Wales"
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    }
  ],
  "language": "en",
  "initiationType": "tender"
}