Transcript Topic 1 / Example Title - Qatari Businessmen Association

Investment seed & start-up
funds as a catalyst for
economic development &
diversity
Paul Field
Technology Transfer Manager
Qatar Foundation
• Founded in 1995 by His
Highness the Emir Sheikh
Hamad bin Khalifa Al-Thani
• Chaired by Her Highness
Sheikha Mozah bint Nasser
Al-Missned
• An independent, nonprofit
organisation committed to
the development of Qatar
and its people
Education City
Convention
centre, ‘10
QF Housing
Hotel, ‘10
Sports centre, ‘10
Commercial
centre, ‘10
Schools
• Qatar Academy
• Bridge program
• The Learning
Centre
Golf course, ‘10
QF
HQ
Al Shaqab stud, ‘08
Qatar Science &
Technology Park
• Home for international
technology companies
• Incubator of start-up
businesses
Sidra Medical and
Research Centre, ’10
• Treatment, teaching
and research
Weill Cornell Medical
College in Qatar
• Medical school
Carnegie Mellon Qatar
• Computer science
• Business
Texas A&M University
at Qatar
• Engineering (4 streams)
Georgetown University in
Qatar
• Foreign service
Virginia Commonwealth
University Qatar
• Graphic, fashion and
Interior Design
Qatar’s R&D Growth
• 2.8% of Qatar’s GDP to R&D activity
• Education City Universities
• SIDRA medical and research endowment
c.US$7bn
• QNRF
• Overseas attraction to first class organisations’
into region
Innovation & Technology
Transfer Centre 1
•
Phase 1
1500m2
x 2 stories x 4 wings
• leases of 500 – 6000 m2
• shell office and lab space
• opens ‘07
National Data Centre
• “Tier 4” data centre
• IT services within and beyond EC
• independently managed
• opens ‘09
Emerging Technology Centre
• 12,000m2 over 2 levels + podium
• leases from 45m2
• incubation focus
• cafes, shops, common facilities
• opens ‘07
Site of 120ha, Phase 1 is 35ha
•controlled access and circulation
• underground parking
• building management
Innovation & Technology
Transfer Centre 2
• twin of ITTC 1
• opens ‘07
Objectives
• Promote applied research, technology
development and commercialisation in Qatar
• Grow and diversify Qatar’s economy through
application of technology
• Accelerate formation and growth of start-up
technology companies
• Create high-value employment and development
opportunities, in particular for Qatar’s university
graduates
QSTP Provides
• Accommodation, Services, Support
– commercialisation programs
• Dedicated facilities and services for R&C
• Access to world-class research institutes
Patent System & Laws
Qatar IP Office
Economic
Development
Proof of Concept Fund
Corporate Research
Support for
commercialisation
Finance
Technology
Research Grand Challenge
New Enterprise Fund
Technology Venture Fund
Research Networks
Investor Readiness Program
Management
Workforce Development
Entrepreneurship
Mentoring
Technology Transfer
• The process of developing practical (commercial)
applications from the results of scientific research
• The formal transfer of rights to use and
commercialise new discoveries and innovations
The funding issue in Qatar
• Lack of investment finance to assist in forming &
developing technology related businesses
• Financial community looking more favourably on
retail/property enterprise start ups
• Will not meet macro economic diversity targets
The American Funding Phases
The Equity ‘Gap’
• Harder to raise US$1m than US$100m
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More risk - often pre-revenue
more effort required - mentoring, hands-on role
Often idea through a committed academic
Time to liquidity - exit 5+ years
• Limited Seed/Start up funds in the region (Injazat,
UAE)
“The Challenge for Qatar”
(challenge for all !)
To ‘bridge’ the ‘gap’ and to provide
a sustainable source of finance for
start up businesses
Adopt International Good Practice
• Enterprise development funds provided by public
sector vehicle or a mix of public/private sector
partners and match funding
• Pump-priming a Middle East VC industry
Private Equity required in MENA
• Seed/Start-up funds
Purpose is to refine, develop and market test IP,
prototypes or concepts
Characteristics are non trading, no firm business
model
Objective to verify commercial viability, test route to
market & build management team
Opportunity Pipeline
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Internationally university spin outs are an
emerging success story
Exponential growth in R&D leading to
commercial opportunities
Attraction of a growing economy
Opportunities of regional significance - e.g.
medical
UK Case Study
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191 active funds, 26% publicly backed
Over half of funds’ size is less than US$25m
Average investments p.a. 5
50% specialist, 50% generalist
US$320m raised for university spin out activity in
2006
• 35% of spin outs raise external finance
• 7% of university spin outs have gone public or
been acquired
U.S. Market
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US last 10 yrs US$12.6bn invested at seed stage
Over 5,000 university spin outs since 1980
MIT, Stanford
Organisations which have benefited overseas
include; Apple Federal Express, AOL, Google
Contact
www.qstp.org.qa
[email protected]
+974 492 7093