EIF to launch a dedicated investment programme in Portugal

EIF, together with the leading financial institutions of Portugal and the Portuguese State are jointly launching the Portugal Venture Capital Initiative (PVCi), a EUR 111.3m dedicated Fund of Funds and co-investment programme in Portugal. Closing took place on 11th April 2008 in Lisbon.

PVCi aims to serve as a catalyst for the development of the private equity (PE) industry in the country whilst achieving good returns for its investors. PVCi is to be advised by EIF.

The purpose of this Fund of Funds is to support the development of the SME (small and medium-sized enterprises) sector in Portugal and to disseminate European best practice in the Portuguese PE/VC (venture capital) market. PVCi will also support Innovation and Technology, facilitate the establishment of local fund managers and develop the local PE/VC market. Furthermore, PVCi will aim to attract investment from regional and international players and help Portuguese Investors gain access to established European funds.

In addition to EIF, the Portuguese State (through the Ministry of Economy and Innovation and Ministry of Finance), Banco BPI, Banco Espirito Santo, Millennium bcp, Caixa Geral de Depositos, Barclays Bank PLC, Montepio, Banif Banco Santander Totta,  and Gulbenkian Foundation are also investors. PVCi further strengthens EIF’s risk capital activities in Portugal, where it is currently reviewing several fund proposals and where it has recently invested in Explorer II, a generalist fund which focuses on mature, stable and growing industry sectors in Portugal.

EIF's Director, Investments and Chairman of the Board of PVCi, John Holloway, said: "We are extremely proud of supporting and being advisor to this pioneering initiative in Portugal. We have first class local partners and are confident that PVCi will accelerate the growth of the SME sector which is key to the development of the Portuguese economy.”