London universities, renowned for their prolific production of spinout companies, are intensifying efforts to secure investment through a new partnership with venture capital fund AlbionVC. Unlike Oxford and Cambridge, London has lacked a single, dedicated organisation to promote spinout investment, a gap this collaboration aims to fill.
AlbionVC, an investor in early-stage healthcare and deep tech companies, already has a successful partnership with University College London (UCL) and now plans to extend its reach to invest in spinouts across all London universities in the third quarter of this year. Ed Lascelles, partner at AlbionVC, stated that their positive experience with UCL inspired the expansion.
“Our experience with UCL has been incredible. There are some extraordinary companies that have come out of the university. We are just at the tip of the iceberg in terms of the quality of research that is available to be commercialised into some great companies,” Lascelles said. “London universities combined have the same research output as the Bay Area. London as a whole, if you include all the researchers, is an incredible powerhouse,” he added.
AlbionVC currently manages the UCL Technology Fund, the investment arm of UCL, in partnership with UCL’s technology transfer office, UCL Business. Through this fund, AlbionVC has managed two funds and overseen several exits, including four initial public offerings on Nasdaq. In addition to providing initial financing, the VC collaborates directly with academics and entrepreneurs to build ventures.
London universities are among the most prolific in the UK for generating spinouts. Imperial College London ranks third in the UK, with 132 spinouts between 2011 and 2025, while UCL has produced 99, and the Royal College of Art 72, according to data from Beauhurst and the Royal Academy of Engineering Enterprise Hub. Queen Mary and King’s College London have collectively spun out 65 companies.
The move comes as several UK universities establish spinout fund partnerships, driven by the government’s push for increased commercialisation of university research. Oxford and Cambridge have their own affiliated investment companies, Oxford Science Enterprises and Cambridge Innovation Capital, while others, such as Northern Gritstone, invest in spinouts from the universities of Leeds, Sheffield, and Manchester.
Lascelles emphasised the firm’s interest in engaging with corporate venture capital (CVC) about spinout investment opportunities. “As a venture investor, we are always happy to talk to investors and we are particularly interested to talk to corporate investors, because we can see real symbiosis where corporate investors get access and insight into some of the emerging technologies and benefit from engaging early with potential customers and partners,” Lascelles said.
Image source: Albion VC (Ed Lascelles, partner)
