The fund, SEP IV, will invest between £5 million and £20 million for growth capital and £2 million to £10 million for venture capital opportunities in UK-based companies.

SEP’s current investors account for 80 per cent of the total raised and approximately half of the £200 million fund comes from UK investors.

SEP’s managing partner, Calum Paterson says: ‘We are very pleased that 20 per cent of investors were new high quality limited partners, particularly in the current economic climate.

‘The new fund will allow us to continue to support the growth of innovative and ambitious UK companies.’

The conclusion of the SEP IV funding round tops off a strong 2011 for SEP which exited cancer therapeutic company Biovex for $1 billion last January.

Paterson adds: ‘We have already identified a number of interesting investment opportunities for the fund in 2012, but we will maintain a disciplined approach and ensure that we continue to select and value our investments carefully.’