The European Investment Fund (EIF) and Croatian Bank for Reconstruction and Development (HBOR) will support three private equity funds in Croatia in unlocking up to €205 million of investments for development, growth, and improved international competitiveness of local SMEs and small Mid-Caps.
As of this autumn, Croatian companies will be able to approach these Funds which will decide on individual investment projects. It is expected that the average investment will range between €2 million and €8 million.
Tamara Perko, President of HBOR’s Management Board, stated: „It makes us very proud that HBOR took part in the establishment of the funds, through which entrepreneurs will have an alternative form of financing. Since the private equity market in Croatia is still underdeveloped, HBOR initiated a number of activities for promoting the development of this form of financing”.
This agreement will also help Croatia improve its position in terms of the share of private equity investment in the gross domestic product (GDP).
The program is not restricted to any particular economic sector. The investment program will also seek to support emerging teams established in Croatia and specifically focused on the country.
Prosperus Invest, fund management company for Prosperus Growth Fund; and Provectus Capital, fund management company for Adriatic Structured Equity Fund are members of the Croatian Private Equity and Venture Capital Association (CVCA).