How To Understand And Understand The Euro Zone Micro To Medium Enterprise

Transcription

1 22 November 2012, Madrid

2 1. Introduction on EIF Introduction on EIF 2 / 21

3 Introduction on EIF EIF at a Glance 1. Introduction on EIF EU specialised institution for SMEs, risk financing Venture Capital and Mezzanine (fund of funds) Structuring and Guaranteeing portfolios of SME and microfinance loans/leases Geographic Focus / Intermediaries EU 27, EFTA, Candidate Countries Distributing through Banks and Funds Staffing, Culture and Values Leading-edge modern institution Adapting to changing market conditions Attracting talented staff Authorised Capital 3bn EIB: 62% EU: 30% Fin. institutions: 8% AAA rated High standards of compliance and integrity 3 / 21 Dual Objective of Meeting EU Policy Goals and Generating a Satisfactory Return on Equity

4 Introduction on EIF (cont d) EIF s Shareholders 1. Introduction on EIF EIB: Main shareholder (62%) European Investment Bank s shareholders: 27 EU Member States European Community represented by the European Commission (30%) 25 public and private financial institutions from 17 countries (8%) including: 4 / 21

5 SME Cash Flows Introduction on EIF (cont d) EIF s toolkit for reaching SMEs Public Stock Markets Portfolio Guarantees & Credit Enhancement Formal VC Funds & Mezzanine Funds VC Seed & Early Stage Microcredit Business Angels, TT Pre-seed Phase Seed Phase Start-up Phase Emerging Growth Development SME Development Stages 5 / 21 HIGHER RISK LOWER RISK

6 1. Introduction on EIF EIF Investment Activity -Spain 6 / 21

7 EIF Investment Activity -Spain Introduction 1. Introduction on EIF EIF has committed over EUR 365m in 24 independent Spanish Venture Capital Funds, mainly targeting technology fields (ICT, TMT, Biotech, etc.) Over EUR 2.1 bn loans to SMEs have benefited from guarantee and securitization activities: EUR 144.5m have been committed from own funds EUR 129m first loss cover through EC mandates guaranteeing EUR 2.1 billion of SME loans Counterparts include blue chips institutions such as BBVA or Caixabank as well as government agencies. i.e. CERSA A EUR 8m microcredit loan was signed with ICREF following the recent launch of the PROGRESS facility 7 / 21 EIF is the larger investor in the VC Spanish arena Spain represents over 11% of the total G&S activity of EIF

8 1. Introduction on EIF EIF Investment Activity Spain (cont d) Neotec Summary NEOTEC: Spanish Technology Fund-of-Funds Tech fund-of-funds in partnership with CDTI (TMT, ICT, clean-tech, bio-tech and LS) Size: 183m EUR m committed to 9 Venture Capital funds Over EUR 43.5m invested in more than ultimately 75 portfolio companies Over EUR 354m invested by the portfolio funds in those same companies Represents a total programme leverage of 8.4x Supported new teams (e.g. Debaeque, Seaya, Active, Cabiedes) EUR 10m co-invested with 2 Venture Capital funds EUR 6.5m invested in 4 companies Proven track record of attracting international blue-chip investors to Spain Further EUR 45m approved to be committed 8 / 21 Over 72% CAGR in money deployed to companies over the last 5 years and expected to grow further due to the recently approved investments

9 1. Introduction on EIF New Mandates 9 / 21

10 New mandates Business Angels co-investment fund 1. Introduction on EIF A EUR 20-30m co-investment fund set up by the EIF and Axis. Its main objective is to co-invest with Spanish and international BAs which are active in the Spanish market Enlarge EIF s reach towards parts of the SME financing chain not currently addressed Share and professionalise the emerging non-institutional investor infrastructure in Spain, which can be considered to play a crucial role for financing young innovative SMEs and supporting innovation and entrepreneurs in Spain Key role in the creation, roll-out and strengthening of a European Platform, which should provide for standardised terms and structure across different countries in Europe in this non-institutional market segment, and allow increasing impact and European value added 10 / 21 Opportunity to professionalize a key segment of the investment landscape while providing for additional resources

11 New mandates (cont d) Neotec 2 1. Introduction on EIF A EUR m FoF set up by the EIF together with public and private players whose main objective is to invest in VC funds that have a primary investment focus in Spain To offset the lack of financing at the seed and start-up level in Spain To serve as a catalyst for the investment by Spanish Venture Capitalists in national technology and innovative businesses To attract foreign capital at various levels (at FoF, fund or company level) into Spanish SMEs Need to create a long-term sustainable private public vehicle which would serve as a catalyst to increase innovation in Spain 11 / 21 with a strong and proven Corporate Governance model and an independent investment decision-making body

12 1. Introduction on EIF Jeremie using 12 / 21

13 JEREMIE: Increasing the Deployment of Self-Sustaining Financial Instruments for SMEs 1. Introduction on EIF The Joint European Resources for Micro to Medium Enterprises Joint initiative of the EU (DG Regio & EIB Group) launched in October 2005 Joint also because it potentially combines resources from the EU, National Public Authorities, EIF, EIB and/or other financial institutions Participation in JEREMIE optional for each country Holding Fund Management or Technical Assistance Uses European Regional Development Funds for enhancing SME access to finance in New Member States and in Regional Development areas through sustainable and revolving financial instruments Creates leverage Encourages move away from grant dependency EVALUATION IMPLEMENTATION DISBURSEMENT PROCESS 13 / JEREMIE Phases

14 EIF s management approach to JEREMIE Holding Funds 1. Introduction on EIF 14 / 21 3rd party funding Holding Fund Structural Funds ERDF (& ESF) Investment Board Financial intermediaries SMEs National Contribution Holding Fund Manager(«HF») Tailor-made portfolios of financial engineering instruments to meet SME needs Strong governance through Investment Board process Transparent call process to select best financial intermediaries Professional negotiation of contracts leading to contract signatures Strong increases in utilization as SME demand grows alongside economic improvements Quick response to adverse economic climate

15 JEREMIE Products 1. Introduction on EIF Equity Start-up Early stage Expansion Venture Capital Debt Micro Finance/ Funded Risk-Sharing products Guarantee/Refinancing Operations 15 / 21 Quasi-equity Other instruments Participating Loans Technology Transfer Funding Mezzanine Funds 15

16 1. Introduction on EIF JEREMIE Holding Funds managed by EIF Up to 31 January 2012 Bulgaria EUR 349m 16 / 21

17 1. Introduction on EIF 5. Competitiveness & Competitiveness & 17 / 21

18 Competitiveness & 1. Introduction on EIF 5. Competitiveness & CIP financial instruments managed by EIF on behalf of the EC Purposes Encourage the competitiveness of European enterprises Support innovation and entrepreneurship activities Provide better access to finance Promote the increased use of renewable energies and energy efficiency Products Guarantees: SME Guarantee Facility Venture capital: High Growth and Innovative SME Facility 18 / 21

19 CIP SME Guarantee Facility 1. Introduction on EIF 5. Competitiveness & Free of charge, capped portfolio guarantees provided for additional risk-taking by intermediaries (guarantee schemes, banks, leasing companies ) resulting in Enhanced Access to Finance for SMEs Enables lenders to further support SMEs: lending criteria can be relaxed Guarantees for investment and working capital loans Selection of intermediaries with wide geographical cover in each country so that as many SMEs as possible have access Minimum selection criteria (commitment to SME financing, financing volumes, geographical reach, etc.) Visibility and promotion of EC support 19 / 21

20 CIP SME Guarantee Facility Instruments 1. Introduction on EIF 5. Competitiveness & Four facilities, known as "windows Loan Guarantee Covers portfolios of mid- to long-term debt finance targeting SMEs and focused on investment financing. Micro-Credit Guarantee Covers portfolios of micro-credits to encourage financial institutions to provide financing to microenterprises, especially start-ups Equity Guarantee Covers of portfolios of equity and mezzanine investments in SMEs. Aims to help SMEs improve their financial structure Securitisation Guarantees to support securitisation transactions so that financial institutions may mobilise additional debt financing for SMEs 20 / 21

21 Map of signed transactions FIs include: CERSA FdP KfW Siagi Slovene Enterprise Fund SOCAMA UniCredit Bank Hungary Microbank La Caixa Raiffeisenbank Bulgaria Alleanza di Garanzia Federfidi Lombarda Austria Wirtschaftsservice Hipoteku Banka Cultura Sparebank ATI ITALIA PMI A.T.I Fidi. Gar KGF Finansbank Pekao Caixa Capital Micro Privredna Banka Zagreb CKB Montenegro Cacanska Banka Agentschap NL GE Czech Republic 21 / agreements signed for EUR 15.6bn corresponding to an aggregate budget allocation of EUR 419m Countries eligible for CIP Guarantees and where agreements have been signed Other countries eligible for CIP Guarantees but where no agreement has been signed to date Other countries and territories