The NSW Government is setting up an equity fund to buy a stake in companies with potential to create new jobs in NSW.
The GO NSW Equity Fund will support successful small and medium-sized companies that are ready embark on a significant expansion. The capital funding invested into the companies could create up to 2500 new jobs, support growth in regional communities and deliver other positive social impacts.
A further 2400 jobs could be created by 2025 through recycled funds.
A partnership between the NSW Government, First State Super and private equity investment firm ROC Partners, First State Super will allocate an initial $100 million and the NSW Government’s Jobs for NSW initiative will add a further $50 million to the fund.
Minister for Regional NSW, Small Business and Skills John Barilaro said instead of launching a loan or grant program, the government was thinking outside the box.
“Any returns or profits generated by our equity stake will go back into the fund to help more businesses,” Mr Barilaro said.