Release date: 13 July 2015
Promoter – Financial Intermediary
IP GROUP PLCLocation
Description
The project concerns investments in research and development (R&D) into innovative start-up companies and SMEs. The borrower holds and manages a portfolio of high-tech innovative spin-out companies and small and medium-sized enterprises (SMEs) in five different sectors (energy & renewables; medical equipment & supplies; pharma & biotech; IT & communications; chemicals & materials) in the United Kingdom.
Objectives
The project supports the growth phase of innovative technology SMEs by ensuring their ability to fund their development programme. It covers activities ranging from pre-seed and seed financing and proof of concept studies to the financing of pilot production or clinical trials. The larger investments, targeted at the more mature portfolio companies, are made on a milestone/tranche basis that matches the companies’ needs for cash with the agreed milestone. The companies included in the project represent a mix of companies in different sectors such as life sciences (pharmaceutical, biotechnology and medical equipment), mechanical engineering and ICT.
Comments
InnovFin is an innovative credit-risk-sharing scheme jointly set up by the European Commission and the European Investment Bank to improve access to debt financing for private companies or public institutions promoting activities with a higher financial risk profile in the fields of research, technological development, demonstration and innovation investments.
Sector(s)
Proposed EIB finance (Approximate amount)
EUR 39 million (GBP 30 million)
Total cost (Approximate amount)
EUR 130 million (GBP 101 million)
Environmental aspects
R&D activities included in the project will not materially change current R&D practice and will be carried out within existing facilities making use of existing laboratories, pilot plants, clinical centres etc. An environmental impact assessment (EIA) by a competent authority according to Directive 2011/92/EU should not be required.
Procurement
The promoter is a private company not operating in the utilities sector and is thus not covered by EU directives on procurement.
Status
Signed - 7/07/2015
Disclaimer
Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).