PFR VENTURES, the first professional institutional investor operating on the Polish market within the Fund of Funds formula, signed investment contracts with 7 venture capital funds. Signing these contracts marks the beginning of the execution of the PFR Ventures’ strategy of offering financing to innovative SMEs from experienced managing teams. PFR Ventures is negotiating further agreements within all five Funds of Funds under their management.
Within the scope of PFR Starter FIZ:
Tar Heel Capital Pathfinder
Ventures For Earth
Within the scope of PFR Biznest FIZ:
Within the scope of PFR Open Innovations FIZ:
In order to commence investments in start-ups, the above venture capital funds need to obtain approval from the Financial supervision authority and Office of Competition and Consumer Protection.
„Innovation brings opportunity to the Polish economy. We believe that thanks to implementation of the Strategy for Responsible Development, the innovation index in our country will rise. We utilise, among others, EU funds and we are building a strong venture capital market. Thanks to that, companies can develop their products and become more competitive on global markets. Innovations require boldness and they pose risks. Therefore, it is extremely important to combine financial support with the know-how,” - said Jadwiga Emilewicz, the Minister of Entrepreneurship and Technology.
“Venture capital is a modern way of financing operations of both start-ups and more mature companies. It allows them to benefit from the capital, management experience or business contacts of their investors, and that translates into a fast pace of growth. Over 2 billion PLN has been assigned to this kind of support within the Smart Development Programme. First contracts with intermediaries have been signed, which means that funds will be transferred to companies soon. I have no doubt that the number of funds reaching for SG OP financing will be growing fast and we will be hearing of successful investments in enterprises and their results soon enough,” said Jerzy Kwieciński, , the Minister of Investments and Development.
“One of the key goals of the so-called Morawiecki Plan is to expand the financing base for Polish enterprises and support their innovation. PFR Ventures is the answer to that challenge as the region’s largest venture capital fund platform worth PLN 2.7 billion. While selecting funds to cooperate with, we emphasised that the financial means must be managed by professionals whose goals align with ours - the success of investment. We are honest with the funds that apply for our financing – the bar is set high. However, we believe that such an approach is necessary for adequately qualified funds to receive financial means and be able to support these young innovative businesses,” said Paweł Borys, President of Polish Development Fund. “The Start in Poland Programme is truly building a strong Polish innovation ecosystem. We would like to thank Minister Jadwiga Emilewicz, Minister Kwieciński, the Polish Agency For Enterprise Development, and the National Centre for Research and Development,” added Pawel Borys.
“PFR Ventures chose VC funds whose investment, business, and industry experience align with the operational profile of the start-ups in which they are going to invest. Each of the seven managing teams, thanks to their unique know-how, is able to create added value in their portfolio companies by providing them with so-called smart money, for example by ensuring their operations are being supported, by providing expert advice, acquiring customers, contractors, or additional funding to boost their development,” said Maciej Ćwikiewicz, PFR Ventures Board President.
PFR Ventures funds were established with innovative SMEs at various stages of development - from the earliest phase (pre-seed), through the seed stage, first implementations (early stage), to the growth and expansion phases.
PFR Starter FIZ is a fund whose capital of PLN 782 million, together with private money, will enable financing the development of innovative companies at the earliest stage of their development. Financial support will be available to companies who seek financing to launch or develop their innovative operations domestically (regardless of the development plans for other markets), based on their business plans. Venture capital funds will ensure refundable support as well as expertise and mentoring, thanks to which the entrepreneur will stand a better chance of succeeding commercially. The amount of investment into an innovative enterprise will total up to PLN 3 million.
PFR Biznest FIZ is a financial instrument with a capital of PLN 258 million. The fund will offer financial support to SMEs at an early stage of their development. Investment in innovative companies will be executed via financial intermediaries co-investing with Business Angels, who help in their implementation of interesting ideas, providing companies with expertise, competences and business contacts (smart money). PFR Biznest will provide PLN 260 million in total, while Business Angels will double the stake. Young companies will access financing in the form of a capital investment or e.g. a loan exchangeable for shares or stock. The amount of investment into an innovative enterprise will total up to PLN 4 million.
PFR Otwarte Innowacje FIZ was established with companies at the stage of technological development in mind. It will support SMEs at the stage of technological acceleration, development, and - ultimately - implementation of technological innovation and R&D projects acquired within the scope of open innovations with high market potential. PLN 421 million will be assigned for refundable support from venture capital funds also involving private investors (e.g. industry enterprises). The assumed amount of investment in an innovative enterprise within the scope of PFR Open Innovations FIZ will range PLN 5 from 60 million.