Venture Profile: Wakefield Group Looking To Invest in IT, Health Care, Media Firms

Editor’s note: Local Tech Wire features a profile of a venture capital or investment firm daily. Matthew Burns and Daniel Pearson compiled the series. Formed in 1988 as an investment vehicle for drywall baron and former University of North Carolina President C.D. Spangler, Wakefield Group now has $100 million under management in an “evergreen” fund that the Spangler family can replenish whenever needed.

The firm is one of the few in the region with offices in both Charlotte and the Triangle.

Wakefield also is one of the rare venture firms led by a woman: former New York investment banker Anna Spangler Nelson. Its management team includes former West Coast entrepreneurs and others with banking backgrounds as well. The firm uses these connections to help its portfolio companies find business partners, attract top managers and arrange additional funding.

Focusing on technology, health care and media firms in the Southeast, Wakefield typically invests $1 million to $5 million in early funding rounds. Its portfolio has included SciQuest, Relativity Technologies, Bloodhound, A4 Health Systems, Applied Analytical Industries and Biolex.

Here’s the skinny:

Featured Firm: Wakefield Group

Mailing address:

2530 Meridian Parkway
Third Floor
Durham, North Carolina 27713

Phone number: In Charlotte, (704) 372-0355

Web site: www.wakefieldgroup.com

Management Team:

Anna Spangler Nelson, partner
Tom Nelson, partner
Steve Nelson, partner
David Gilroy, vice president
George Mackie, entrepreneur in residence

Focus of firm: Technology, health and media and services companies

Money under management: More than $100 million

Companies funded over the last five years (amount and round for each co.):

NetOctave
Click Tactics, Inc.
FullScope, Inc.
Simtrex
Bloodhound Incorporated
BlueBolt Networks
OpenSite Technologies, Inc.
SciQuest, Inc.
DaVinci
MetaSeS
Pinpoint Networks, Inc.
Digital Optics, Inc.
Sekani
Relativity Technologies, Inc.
Medic Computer Systems
Cirqit.com
Coventer
Clarus, Inc.
Biolex, Inc.
A4 Health Systems
Neotonus, Inc.
Cogent Neuroscience, Inc.
Applied Analytical Industries, Inc.
Endeavor Pharmaceuticals
Granite Broadcasting

How many new deals do you expect to fund in 2002: Undetermined

In what size range: Initial investments range from $1 million to $5 million

Sweet Spot (types of deals, stage of the company): Wakefield seeks early stage companies with strong growth potential in the technology, health care and media fields.

Most important attributes for companies seeking funding:

Companies must have a proven management team in place and have the drive to change the world.

What differentiates you: Wakefield Group’s diverse group of investment professionals with vast industry knowledge and hands-on experience building successful companies, and its collective experience in operations, finance, and strategic consulting spans 70 years

Thursday’s profile: Frontier

Previous profiles can be found by searching Venture Watch category. The series thus far:

Feb. 11: Academy Venture Funds
Feb. 12: Atlantic Group
Feb. 13: Aurora Fund
Feb. 14: Capital Investment Partners
Feb. 15: Carolina Financial Group
Feb. 18: Carousel Capital
Feb. 19: Catalysta Partners
Feb. 20: Charlotte Angel
Feb. 21: Draper Atlantic
Feb. 22: Eno River
Feb. 25: Halifax Group
Feb. 26: Intersouth Partners
Feb. 27: Kitty Hawk Capital
Feb. 28: NC Enterprise Corp.