What are the benefits?
Individual venture capital markets in the Baltic countries are of a very limited size and are unattractive to international investors. For this reason, the European Investment Fund (hereinafter referred to as the “EIF”) proposed to set up the Baltic Innovation Fund (hereinafter – the BIF), a Fund of Funds intended to promote the development of venture capital markets in the three Baltic States (Lithuania, Latvia and Estonia). BIF investments are and will be oriented towards the companies with high growth potential operating in the Baltic region.
What companies are eligible?
Micro, small and medium-sized enterprises can apply to the following venture capital fund managers: Livonia Partners, BPM Mezzanine, Karma Ventures, INVL, BaltCap Growth Fund and BaltCap Private Equity Fund II
What is the maximum amount?
The planned amount of the BIF is EUR 130 million. Invega will invest 20 per cent of the total BIF amount from the INVEGA fund. Its Latvian and Estonian counterparts, namely, ALTUM (Latvia) and KredEx (Estonia) will also contribute 20 per cent each, and the EIF will invest the remaining 40 per cent portion of the total amount of funds available at this Fund.
How does it work?
Currently, investments have been already made in the following six funds: BaltCap Growth Fund, BaltCap Private Equity Fund II, BPM Mezzanine Fund, INVL, Livonia Partners Fund and Karma Ventures Fund I. Investments into the Funds will be made until the end of 2018.
Further information on the BIF is available at: http://www.eif.org/what_we_do/resources/BIF/index.htm