– Lynx New Media starts up

Virgin Media Group and Bear Stearns, the US investment bank, have set up a E150 million venture capital fund, called Lynx New Media, to invest in new media businesses in Europe. The partners have each contributed E16 million to the Lynx New Media fund and Bear Stearns will raise the remainder of the fund via institutional investors.

Lynx New Media will invest in content, technology and other services that stand to benefit from the dramatic growth of the Internet in Europe.

Bear Stearns International will manage the fund investments. Kenneth Ibbett, chairman of the Virgin Media Group, which is a co-general partner of the fund, will be the managing director of Lynx New Media. Lord Birt, former director general of the BBC, will be chairman and Virgin Group boss Richard Branson will sit on the Advisory Board.

As well as fund raising for Lynx New Media Bear Stearns is also in the process of hiring professionals to invest and manage the fund.

Legal assistance in setting up the new fund was provided by Allen & Overy for Bear Stearns International and by Ashurst Morris Crisp for Virgin Media Group.