The Mezzanine Facility for Growth is a EUR 1bn fund of funds mandate granted by the European Investment Bank (EIB) to be invested in hybrid Debt /Equity funds throughout Europe, with a view to playing a catalytic role in this market segment.
The purpose of this particular asset class is to provide alternative financing to support, for instance, shareholding reorganisation or expansion for more mature businesses and late stage or expansion technology companies. It can be tailored to meet the specific financing requirements of these companies and in the current market situation where bank lending remains limited, it is well adapted to long term financing.
Our experience as a fund manager ensures that the facility is efficiently deployed, since we have a large contact base among mezzanine players, ensuring extensive coverage of the market. Consequently, we have already been able to support established players with focus on small and medium sized enterprises (SMEs) as well as emerging teams in new markets.
EIF is usually involved early in the launch process of mezzanine funds, taking a significant participation at first closing. It has a critical role to play in the current fundraising situation.