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Jan Cornelis

Vice Rector International Policy- VUB

QBIC, the Interuniversity Venture Capital Fund

- QBIC is a Public Liability company

- Focus on academic research spin-offs of a network of universities (UGent, UA, VUB and affiliates) – early seed and first follow up

- Investment in a broad range of technologies: life sciences and biotechnology, ICT & engineering, materials & clean tech

- Seeking an investor syndicate that is balanced and mixed public/private

- Target investment per spin-off: between €500k and €4.0M

- Size of the fund: ~ €30M/€40M (open for new investors)

- Main shareholders: mix of private and public shareholders and universities

- Business accelerator operating in symbiosis with university’s IRF

http://qbic.be/

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Technology Transfer Interface

To

Gateway between the university’s research & expertise and industrial partners

From idea to initial business plan

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For VUB, TTI remains the single entry point to prepare your dossier for QBIC fund

QBIC, the solution of a well-known problem … the valley of death?

€ 50-500K

Internal Sources

Research

Industrial

Proof of

Concept

Commercial

Proof of

Concept

Startup

Market

Growth

FUNDING

GAP

€ 2-5M

Venture Capital

Early

Market

Penetration

??

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Incorporation

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Bridging the funding gap

GAP Funding provided by university and QBIC

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IndustrialResearchFund (IRF)

University

Research fundingMechanisms

Research Proof of Concept Startup

EarlyMarketPenetration

MarketGrowth

ResearchFunding

Pre-seedFunding

SeedFunding

StartupFunding

1st RoundFunding

2nd RoundFunding

- Product dev.- Team in place

- Early customers

- Prototyping- Early team in place

- Business Plan

Incorporation

QBIC Fund

Venture Capital

QBIC Fund: Decision process

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- Advice to BoD for specific spin offs and Business accelerator

QBIC Investment committee (IC)

QBIC Board of Directors (BoD)

QBIC Venture partners –management company (QVP)

Spin off incorporation

- Fund management; - Due diligence and Contract negotiation- Business accelerator

Go/No Go for individual spin offsFund portfolio and global strategy

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Bridging the funding gap

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GAP Funding provided by university and QBIC

IndustrialResearchFund (IRF)

University

Research fundingMechanisms

Research Proof of Concept Startup

EarlyMarketPenetration

MarketGrowth

ResearchFunding

Pre-seedFunding

SeedFunding

StartupFunding

1st RoundFunding

2nd RoundFunding

- Product dev.- Team in place

- Early customers

- Prototyping- Early team in place

- Business Plan

Business accelerator QSTART

Incorporation

QBIC Fund

Venture Capital

!!!!!!!!!!!!!

QSTART Business Accelerator concept

Deal flow analysis

University’s incubation project

Portfolio company

High level business plan

Detailed business plan

Due diligence & Contract negotiation

IRF funded incubation

Business Accelerator

Qbic Deal flow

Business case evaluation

8

incorporation

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QSTART Business Accelerator –Three phases

Phase 1 Phase 3Phase 2

High level business plan

Detailedbusiness plan

Business case

evaluation

Spin-off

€10k €200k€25k33% 75%

Spin-off>90%

Business Accelerator QBIC FundLoan

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QSTART Business Accelerator –Three phases

LC PLCBusiness Accelerator

All IRF projects+ “immature” projects

IC adviceBoD decision for the:

loan

QVP decision IC adviceBoD decision to

invest:

€200k€25k

High level business plan

Detailedbusiness plan

Business case

evaluation

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QBIC Fund (VUB-UGENT-UA): Highlights

First joint university VC fund in Brussels/Flanders

– Covering 56% of academic research capacity in Flanders (VLIR 2009: KuLeuven = 40%, UHasselt = 4%)

– Cross-institutional approach increases critical mass & potential for high quality ventures

• Focus on High Tech spin-offs from VUB, UGent, UA– Deal flow enlarged through collaboration with Flemish Strategic

Research Centers (SRC’s- IMEC VIB IBBT), University Hospitals, Selection of “Hogescholen”

• Other partners (public & private): Banks, Government (Federal, Brussels, Flanders), International investors

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QBIC Fund: Highlights (continued)

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• Closed end fund• Start date fund: June 1st, 2012• Investment Period: 5 years (optionally 6 years)• Duration of fund: 10 years (optionally 12 years)

• Managed independently by a core team of professional investment fund managers (QVP)• Close cooperation with the technology transfer offices of

the affiliated universities.• Relying on an independent Investment Committee (IC) composed of international experts

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QBIC Fund: Objectives

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• Target to invest in about 20 startups over the 5-year Investment Period

• Follow up funding 60 % -70 % of the fund

• Target IRR: 7 %

• Deal flow: spin-in and spin-out startups:

- spin-out model: a startup that has been molded from within the universities and for which the universities need to establish an entrepreneurial team and a company.

- spin-in model: entrepreneurs that bring their venture concept to the universities in search for technological inputs and know how that is essential to the success of their venture.

Deal Flow – by sectorall deals

active deals

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Deal Flow – by university or partner

all deals

active deals

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QBIC - Fund Structure

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QBIC ARKIV Fund€ 24 Mi

QBIC  Feeder Fonds€ 18 Mi

QBIC BRU Fund€ 1 Mi

ARKimedes II fund

GIMB

University startupsbased in Flanders

University startupsbased in Brussels

€ 12M € 12M € 0,5M € 0,5M

QBIC Business 

Accelerator

Universities (UGent, VUB, UA)‐ € 3,95 MBanks (Fortis, KBC en ING) and Federal Participation & 

Investment company ‐ € 14 M

€ 0.5M

€ 3,5M

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Main challenge … creating a Culture of inventions and entrepreneurial spirit

2010/3/2012

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