EBRD said it is investing up to USD30 million in the Emerging Europe Growth Fund III (EEGF III), which will provide equity financing to small and medium-sized enterprises (SMEs) primarily in Ukraine.
The EBRD disclosed that the Fund has a target size of USD150 million and has attracted investments from the Western NIS Enterprise Fund, International Finance Corporation (IFC), Dutch development bank FMO and German investment corporation DEG as well as other investors.
The Fund will be managed by regional private equity firm, Horizon Capital and will target export-oriented, fast-growing private SMEs in the region.
Francis Malige, EBRD Managing Director, Eastern Europe and the Caucasus, said: “By supporting small and medium-sized businesses we are investing in the future of the region. These companies are willing to embrace new business standards and technologies and drive national economies to make them sustainable and competitive. Horizon Capital has been our reliable partner for many years and we are confident it will help the EEGF III become a successful tool in achieving our strategic objectives here.”
The EBRD is the largest international financial investor in Ukraine. To date, the Bank has made a cumulative commitment of almost €12.2 billion through 377 projects since the start of its operations in the country in 1993.