Wellington, March 11 NZPA - The Government-supported New Zealand Venture Investment Fund (NZVIF) is putting up to $20 million into a new private equity fund being established by Neville Jordan's Endeavour Capital.

Mr Jordan, Endeavour's chairman and the founder of MAS Technology, said the Endeavour Growth Fund hoped to attract up to between $100m and $150m from New Zealand institutions and investors.

The fund would be earmarked for New Zealand investments, particularly those based on high quality research and development.

Endeavour Capital had previously raised and managed two earlier funds, Mr Jordan said.

"The companies we will focus on are creating the highly productive jobs which New Zealand needs to generate. A New Zealand-based fund will help to keep these companies here in New Zealand as they grow, and protect New Zealand jobs."

The fund also aimed to attract another $US270m ($NZ550m) from offshore investors and would be focused on offshore investments, particularly in the Asia Pacific region.

NZVIF chief executive Franceska Banga said NZVIF's commitment of up to $20m would be co-invested with the Endeavour Growth Fund into young New Zealand companies with high growth potential.

"There are some very promising New Zealand companies in the early expansion stage which will be requiring capital to fund their next stage of growth."

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