EIF sees top-tier investment opportunities in Swedish Seed and Start-Up Technology market

The European Investment Fund (EIF) has signed a cornerstone commitment in Creandum II, a Sweden-based fund focused on seed and start-up stage technology SMEs.

The fund reached in its first closing well above its target size. The investment focus is on early-stage, high-growth, high-tech companies which build their business case on the commercialisation of technological innovations, in markets such as systems, components and software.

Geographically, the fund will mainly target investments in Sweden, and in the rest of the Nordic countries.

This investment was made possible through the ETF Start-Up window of the European Commission programme in support of small businesses. This facility targets seed or early-stage funds, a stage where private sector co-investors continue to be scarce.

Francis Carpenter, Chief Executive of EIF commented: We are pleased that EIF has committed to Creandum II operating in the Nordic countries which have heavily invested in R&D. We are convinced that the Creandum team has all the ingredients to take advantage of this market opportunity, in an ever competing high-tech environment, and is well positioned to develop high tech innovations into attractive businesses.

About EIF: Extending the value chain

EIF operates as a European Fund-of-Funds, the biggest of its kind in the venture segment, managing mandates from various public and private sector resources. EIF is the European Union body specialised in SME financing on market terms through equity fund investments and as a guarantee provider to intermediaries in SME financing. In this role, the European Investment Fund fosters EU objectives in support of innovation, research and development, entrepreneurship, growth, and employment.

EIF's AAA/Aaa/AAA ratings were reconfirmed in 2006 by the rating agencies Standard & Poor's, Moody's and Fitch.

EIF's total commitments to Private Equity funds amounted to EUR 3.8bn at 31 December 2006. With investments in some 244 funds, EIF is a leading player in European venture due to the scale and the scope of its investments, especially in high-tech and early-stage segments.

About Creandum

Creandum started its operations in 2003 with the establishment of Creandum I and has from the beginning focused on early stage technology start-ups in Sweden, Finland, Norway and Denmark. 10 investments have been completed in Creandum I which have given Creandum an excellent reputation as the Nordic Entrepreneurs behind Entrepreneurs. Today Creandum is the fastest growing independent partnership of its kind in the Nordic region. The partnership estimates that Creandum II will be invested in approximately 15 companies in the Nordic region.

For further information, please contact Delphine Munro, d.munro@eif.org, +352 42 66 88 237