Private capital investment and advisory company Macaulay Capital has launched on the Aquis Stock Exchange (AQSE).

Macaulay Capital, a 'spin-off' of private capital business Chelverton Asset Management, is a co-investment programme which aims to focus on tax-efficient and income generating investment for high net worth individuals, family offices, and others.

The company aims to identify and advise on smaller MBO, MBI, equity release, and development opportunities.

These will be growing private companies than are expected to qualify for business relief after two years under current tax legislation, thereby creating an IHT exemption. Additionally, they are expected to make occasional growth capital under the enterprise investment scheme (EIS).

David Horner, founder of Chelverton Asset Management, said: “We will be looking to identify opportunities to invest in small, well-established, robust businesses, as well as providing occasional opportunities to participate in funding development capital into younger, ambitious, and fast-growing companies – and have already completed our first investment, a management buyout at a South-West based maker of luxury flapjacks.

“We believe significant opportunities can be found amongst this target company set, with the potential to produce significant cash generation and capital repayment, and a robust and steadily growing dividend stream.”

Macaulay Capital will be managed by Mr Horner, who has over 35 years in corporate finance, and Chelverton director Richard Bucknell, who will take on the role of chief investment officer. Mr Bucknell has led over 30 investments in SMEs since 1998.