PRIVATE EQUITY

We invest equity ranging from €2 million - €1000 million in industry, infrastructure, and the financial sector.

The Euro Capital uses innovative approaches and instruments and expects an appropriate return on investment. We will only take minority positions and will have a clear exit strategy.

Equity and Quasi-Equity instruments

• Ordinary shares.
• Preference shares.
• Subordinated loans.
• Debentures.
• Income notes.
• Redeemable preference shares.
• Listed and unlisted.
• Underwriting of share issues by public or privately-owned enterprises.
• Financing the transfer of shares in existing enterprises. This form is only used in cases of privatization where such a transfer will definitely improve efficiency, for example, through better management, rehabilitation or expansion under new ownership or synergy with the acquirer's operations.
• Other forms can be discussed with Euro Capital banking staff.The Euro Capital also participates in investment funds, which in turn invest in medium-sized companies that need to expand their business. Equity funds are focused on a specific region, country or industry sector, have local presences and are run by professional venture capitalists. Their main investment criteria are consistent with the Euro Capital's overall investment policy.
  Terms and conditionsThe terms and conditions of Euro Capital investment depend on risks and prospective returns associated with each project. They are also affected by the financial/ownership structure of the project company.As the Bank has limited capital resources, it does not take long-term equity investments or controlling interests. Nor does it assume direct responsibility for managing the project company.
  Equity funds for smaller enterprisesTo give entrepreneurs and small firms greater access to finance, the Euro Capital also supports financial intermediaries, such as local commercial banks, micro business banks, equity funds and leasing facilities.
  Equity financingEquity finance is available from Euro Capital-supported private equity funds, donor-supported equity funds and directly from the Euro Capital. Equity funds support all kinds of investments including business start-ups, expansion and acquisitions.Some funds specialize in financing companies in need of restructuring, in distressed situations or mezzanine capital for a later stage. Fund investments generally have a higher prospective return and require longer-term risk capital than standard Euro Capital projects.Investment criteria are consistent with Euro Capital policy, but investment decisions are made by fund managers.
  Euro Capital-supported equity fundsContact fund managers to enquire about finance, to check specific fund requirements and investment limits. These documents provide information about each fund along with contact details.
  Euro Capital direct investmentEquity finance up to €6 million for businesses led by experienced local entrepreneurs may be available directly from the Euro Capital through the Euro Capital Investment policies.