Four more venture capital funds receive EUR 80 M in the second NRRP round approved for capital investments
In the working session of May 8, the Investment Committee designated by the Government of Romania for the Recovery Equity Fund (REF) approved the financing of four more investment funds that will receive allocations through the National Recovery and Resilience Plan (NRRP). Managed by the European Investment Fund, NRRP’s venture capital instrument finances investments in small and medium-sized enterprises, mid-caps and infrastructure projects.
Innova/7, Booster Capital, GapMinder II and Morphosis Capital II will receive investments from NRRP in the amount of up to EUR 80 million, to which will be added own funding from fund managers and other private or institutional investors. According to the individual investment directions, which follow the extended investment strategy of the NRRP’s risk capital instrument, the four new funds will support at least 30 companies in development, as well as start-ups operating in fields such as: technology , production, FMCG, services for companies and the population, health.
Csilla Hegedϋs, secretary of state within MIPE and president of the Investments Committee said: “The Investments Committee confirms, through the decisions taken, the priority given to investments in the Romanian economy, the growth of Romanian companies and the creation of an ecosystem favorable to the development of Romanian capital. The approved allocations contribute, at the same time, to the fulfillment of the milestones set for this investment financed under the NRRP.”
In December 2021, the Government of Romania and the European Investment Fund signed a contract for the establishment of the Fund of Venture Capital Funds for Recovery, an investment financed by a contribution of 400 million euros from Component 9 of the PNRR – “Support for the private sector, research , development and innovation”. It is anticipated that, by 2026, approximately twenty investment funds will obtain resources to invest in Romanian companies.
The tender for the selection of financial intermediaries was launched in August 2022 and is still open at: https://www.eif.org/what_we_do/resources/rrf-romania/index.htm.