Arawa Capital has announced it has launched a $40 million investment fund aimed to take control positions in cybersecurity, defence and national security related businesses.
The new fund, which would target sophisticated investors, in particular high net worth individuals (HNWI) and family offices, would aim to provide 12% per annum returns. It would invest in three to four companies over the next 12 to 24 months, made up of cyber security and other national security related small and medium enterprises (SMEs).
Arawa’s head of investment, Graham Cox who is leading the National Security Investment Fund’s capital raise and investments into the sector, said he would expect closing out the capital raising within the next few weeks based on the large amount of registrations received to date.
“Investors see this sector as hard to access, yet are eager to take a position as it is highly protected from market volatility due to the large amounts of annual government spend and the tidal wave of demand and investment being made by government agencies and businesses in cyber security and related services,” he added.