Phones4U billionaire considers setting up new venture capital fund

John Caudwell, the billionaire who made his fortune by growing and selling Phones4U and other firms, is considering setting up a new venture capital fund.

Such a move would be his first new fund since he sold his remaining shareholding in the mobile phone retailer, which was bought in a secondary buy-out by BC Partners in a deal worth up to £700m in March.

He has told friends that he is considering setting up a either a venture capital fund or a private equity fund, into which he may pump some of his own cash.

While a decision on the fund is not expected before the end of the year, Mr Caudwell is understood to want to be a key player in it, building on his more than 20 years' experience in the retail sector.

Any such fund would be in addition to the private "angel" investments he had made in the past two years. The 58-year old has registered JDC Investments at Companies House, playing on his middle name being David.

His personal fortune is estimated at £1.5bn, which he has built up by selling companies. Mr Caudwell sold his Singlepoint business to Vodafone for £405m in 2003.

Mr Caudwell told a Sunday paper he was mulling a new fund.