The Maryland Department of Business and Economic Development has chosen Altius Associates of London to oversee the state’s new InvestMaryland program.
Last month, Maryland raised $84 million for the InvestMaryland fund through an online auction of tax credits to insurance companies. The amount topped the state’s goal of $70 million.
The economic development department said that selecting a private equity firm to oversee the program ensures that the process of choosing venture capital companies for investments in early-stage companies will be open, transparent and in no way influenced by the state.
“Altius will recommend funds that will not only look to provide outperformance but help make viable Maryland companies that create jobs and generate revenue for the state’s economy,” said Bradford Young, a partner at Altius Associates.
Private venture firms will invest 67 percent of the funds, and the remaining 33 percent will be invested by the state’s 17-year-old Venture Fund.
The Maryland Venture Fund has invested $25 million in startup and early-stage technology and life sciences companies so far. It said those investments have generated a $61 million return, 2,000 jobs and more than $1 billion in private investment.