Pie adds new filling to its KiwiSaver reciepe

Pie Funds is the latest KiwiSaver provider to add private equity to its funds.

Sunday, November 3rd 2024, 12:52PM

Pie Funds is investing $10 million into Icehouse Ventures’ Growth Fund II, a $100m late-stage venture fund that provides exposure to 20 of New Zealand’s leading technology companies.

The investment will come from Pie’s KiwiSaver Growth Fund and aligns with Pie’s ongoing commitment to creating a well-rounded investment portfolio for its KiwiSaver members that balances risk and reward by incorporating growth-stage investments alongside more traditional asset classes, the manager says in a statement.

"Late-stage investing presents an exciting opportunity for investors, supporting genuine Kiwi innovation whilst combining the stability of established operations with the potential for upside as these investments reach new growth milestones," Pie Funds chief investment officer Mike Taylor says.

“We’re absolutely delighted to be able to give our investors a mechanism for tapping into the deal flow of New Zealand’s most active venture investor. We think more Kiwis should be able to be part of the journey of some of these exceptional companies, right here in our own backyard,” Taylor says.

“We are confident this fund aligns with our long-term investment objectives and provides real value for our KiwiSaver members.”

Icehouse Ventures chief executive Robbie Paul says Growth Fund II focuses on businesses that have moved beyond the early growth stage and are ready for additional capital to accelerate their growth. "These companies have already built solid foundations, demonstrated significant progress, and are now poised for substantial growth and success."

Existing portfolio companies include global education technology company, Crimson Education, ag-tech leader Halter, and commercial real estate software Re-Leased. Growth Fund II companies are collectively generating ~$300m in annual revenue, up from $150m just three years ago.

One of their most recent investments is Timescapes, a fast-growing software company that provides powerful analytics to the construction industry.

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