Italian Government promoted Fondo Italiano d’Investimento sgr (FII) and the European Invest Fund (EIF) signed a new coinvestment agreement to support the development of Italian small and medium-sized enterprises (SMEs) (download here the press release).
The new agreement signed by Innocenzo Cipolletta and Gabriele Cappellini, respectively cFII’s chairman and ceo, and by Pier Luigi Gilibert and John A. Holloway, respectively ceo and heaf equity investments for Eif, renews and broadens the contents of a previous agreement signed in October 2011 which made EIF and FII to jointly invest an amount of 520 million euro in 10 funds (of which 370 millions in 7 private equity funds and the remaining investment in venture capital funds), in which EIF has committed a total amount of 295 million euros.
This agreement complements the recently launched two new FII’s funds-of-funds with Cassa Depositi e Prestiti as cornerstone investor. The first fund focuses on private debt (with target size of 500 million euros and whose first closing already took place at 250 millions) and the other funds has a focus on venture capital (with target size of 150 millions, whose first closing already took place at 50 millions and is expected to increase up to EUR 100 million within the first quarter of 2015).
The new agreement between FII and EIF will last 4 years and entitles the two institutions to coinvest about 500-600 million euros private equity and private debt funds with focus on Italian SMEs and start-ups as well as along with business angels.
The latter is a big news as Fondo Italiano’s activity as FII will invest part of its venture capital committment in a 30 million euros new veichle dedicated to seed capital which weill be set up by FII and EIF together in order to co-invest alongside selected business angels, in line with the European Angels Fund initiative already launched and implemented by EIF.
A possibie cooperation as for seed capital co-investments between FII and EIF was discussed more than 18 months ago back in March 2013 by European Investment Bank vice chiariman and EIF’s chairman Dario Scannapieco in its speech at the Italian Private Equity and Venture Capital Association’s annual convention. Scannapieco said that the EIF would have possibly replicate in Italy a pilot initiative just started in Germany and Spain relative to co-investments with business angels in those countries.
EIF reaffirms its 10-year-long activity to support Italian venture capital and private equity funds, which has so far resulted in 669 million euros being committed to 32 venture capital and private equity funds focussed on Italian SMEs
At the end of last December, EIF had a portfolio of 8 billion euros in 435 private equity and venture capital funds and committed 5.6 billion euros in 300 guarantee deals.
As for now EIF has committements in about 20 funds focussed on Italian SMEs, which are listed below.
Venture capital: 360 Capital Partners, DN Capital, HBM Partners, HealthCap, Innogest sgr, Keensight Capital, Seedcamp LP, Sofinnova Capital, United Ventures,
Private equity: Alcedo sgr, Alto Partners, Ambienta sgr, Arcadia sgr, Argos Soditic, Progressio sgr, Star Capital sgr, Wise sgr
Private debt: Emysis Capital sgr
