Our approach de-risks deep tech investing
Our differentiated approach spans our investment and post-investment process, corporate governance for our shareholders, and our corporate structure.
For every company we invest in, our approach follows a “Day-Zero” pre-investment due diligence period, “Day-One” the investment itself, and “Day-Two” the active post-investment involvement in optimising and scaling the business.
Our deal flow comes from our network of global industry contacts who know and respect us, from our differentiated approach which is attractive to founders, and from our strong reputation in technical knowledge and capabilities. We receive 100s of approaches each year, but by utilising our very disciplined approach, only a few (2-4 per year) will eventually turn into new portfolio investments.
Our Day-Zero approach has been refined over hundreds of transactions. With in-house technical and financial expertise in place, we are better placed to identify early-stage deep technology investment opportunities. Before we invest, we identify how we can leverage our network to quickly scale the company post-investment with potential customer introductions or partnerships and identified future acquirers.
We place an even greater emphasis on post-investment Day-Two support when compared to pre-investment. Bloc is active in the governance of the portfolio company always taking a board seat and potentially Chairman roles. Operationally, we leverage the Bloc network to help the company optimise the operations through technology productisation, increased monetisation, and implementation of proper financial systems.
Post optimisation, we continue to provide hands-on founder assistance and make further use of the network to help drive global expansion – through close personal ties to individuals and teams in the key technology regions (US and Asia). This active and ongoing relationship with our portfolio companies is a key differentiator and maximises value creation and success rates which greatly lowers the investment risk.
We are creating enduring companies of global scale
Bloc is a permanent venture capital company, not a fund. Think of us as a technology sector company, and our products are the deep-tech businesses in which we invest.
With our permanent capital structure, we enable the underlying company to mature on a timeline that is appropriate to them to maximise value. Funds are typically set to a 10-year timeline split between five years of investment and five years of harvest. When investee companies do not fit these timelines, the fund is often forced to sell at a time that is value destructive vs value-enhancing. We are not bound to an artificial timeline which allows the Bloc model to maximise value and look at market forces, dilution, and value extension opportunities to determine the right time to sell or to continue to build value.
Traditional Venture Fund
Bloc’s non-executive directors bring exceptional business experience, as well as representing shareholders, to monitor adherence to disciplined investment and portfolio stewardship. Bloc is proud to have strong corporate governance in place, borne out of the experience at FTSE100 companies, that would normally only be expected at a larger organisation.
"Bruce and David with their science and engineering backgrounds combined with a deep grounding in technology at ARM and Vodafone have expert knowledge of the sector. Andrew Griffin, an experienced and highly rated Technology Analyst, formerly at Merrill Lynch, complements an outstanding team."
Paul Roy – Chairman and Investor
"The main appeal of investing with Bloc is its highly professional team, who have the ability to offer targeted early-stage investments across multiple technology sectors. To date, we have participated in three separate capital raises and are now one of Bloc’s significant shareholders."
Rupert Bullock – L Batley Holdings
"Bloc was instrumental in getting our financial management and reporting up to speed, helping us strike a good balance between the accountant’s quest for the perfect books and the entrepreneur’s inclination to stay away as far as possible from all things administrative."
"The dynamics at play in their core target markets are numerous and their focused approach and deep understanding of tech gives them an edge over their rivals."
John Martin – South Green Capital
"There are a number of reasons why Bloc’s permanent capital structure is attractive as an investor. It allows portfolio companies to grow and mature on a timeline that works best for them, rather than being dictated to by a typical fund timeline of 10 years."
Christopher Miller – Melrose Plc
"Bloc Ventures provides its investors with access to exciting technology investment opportunities that they might otherwise not be aware of."
Clive Anderson – h2glenfern
"They work hard to add value to what we are doing, having our best interests in mind throughout the entire process."
"With so many VCs misaligned to short term incentives, it is refreshing to be working with Bloc who truly take a long term view as investors."
"With Bloc, we could skip the entire intro and immediately got to discussing the deeply strategic benefits of beamforming technology, and how Pharrowtech should position itself to create maximum value for the end customer."
"Bloc is a great investor: they hold me and my executive team to account; they provide the right level of support to our business; they make relevant and valuable introductions."
"We believe Bloc’s ability to understand complex technology businesses, [especially DeepTech] is one of the primary motivating factors in choosing to take investment from Bloc."