A UK investment firm is bringing out a fund designed to use the "disruptive" forces driving young firms to transform the fortunes of large, established companies.

London-headquartered Ariadne Capital has launched a £150 million ($213.6 million) investment fund that concentrates on large, established businesses that are being transformed by new, digital technologies.

Ariadne’s Ecosystem Economics Fund has already signed up a cornerstone investor, and is targeting a first closing in the first quarter of this year, a statement from the firm said yesterday. 

The fund charges a 1 per cent management fee with 25 per cent carried interest and no fees on the 3X co-investment platform, reducing fees associated with high-growth tech investment to 12.5 per cent of the 100 per cent as usually applies.

“At a time of subprime unicorns, the new investment opportunity set that we have developed is to back Digital and Platform Enablers who are working with incumbent, large, established entities who are intent on re-inventing their industries, whether they be banking, insurance, retail, smart home or transportation. Distinct from a typical venture capital fund, the Ecosystems Economics Fund is one that will disrupt the industry by connecting these David and Goliath enterprises together, resulting in platform businesses that are anchoring the respective ecosystems in Europe,” Julie Meyer, chief executive of Ariadne, said.

Ariadne Capital was founded in 2000 and says it has pioneered the “Entrepreneurs Backing Entrepreneurs” model for the financing of entrepreneurship with 62 founding shareholders. The firm has completed more than £350 million of transactions and investment. It owns and operates EntrepreneurCountry Global, a 225,000 strong early adopter community and discovery platform.