A €150m Development Capital Scheme has been launched by the Minister for Jobs, Enterprise and Innovation, Richard Bruton TD in Dublin today. The scheme is part of the overall aim of improving access to credit for small to medium sized businesses.
The Government, through Enterprise Ireland, will invest a total of €50m in two funds with the target of leveraging a further €100m from the private sector.
The scheme is aimed at addressing a funding gap for mid-sized, high-growth, Irish businesses with significant prospects for growth and job-creation. It seeks to increase the availability of risk capital for Irish medium-sized enterprises, with 60-160 employees, engaged in manufacturing and technology high-growth trading services companies in Ireland such as engineering, food, life sciences, and electronics.
The €150m Development Capital Scheme will play “a crucial role” in “ensuring that these companies can continue to grow and create jobs in Ireland”, Minister Bruton said today.
The Development Capital Fund is targeting Fund managers seeking to make investments between €2m and €10m in Irish companies by way of equity or quasi-equity.
Irish Fund managers or international Fund managers wishing to establish a presence in the Irish market must fit the following criteria: Growth investment experience in innovative SMEs; a physical presence in the Irish market; a track record with working alongside privately owned companies; a strong track record of working with companies to achieve strategic growth and development; international syndication experience; an intention to invest a minimum of double Enterprise Ireland’s commitment to any Fund in Irish manufacturing and high growth trading services companies; and experience in raising capital.