U.K. Banks Plan £2.5B Business Growth Fund

Six British banks are backing the launch of a new £2.5 billion fund.

Six British banks are backing the launch of a new £2.5 billion fund, Financial Times reports. The Business Growth Fund will be headed by Nigel Rudd and will help small service and manufacturing businesses by providing equity stakes and hands-on management advice. The fund will invest in companies with an annual turnover of between £10-100 million in April 2011. A private equity specialist at CCMP Capital, Stephen Welton, will join the fund as CEO.

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