Equity Puglia. The first four Alternative Investment Fund managers selected. Delli Noci: “Great interest from investors. We will increase the budget"

Business development financing In the foreground

The largest operation aimed at developing innovative startups and small and medium-sized enterprises thanks to access to the capital market is operational in Puglia. Equity Puglia, the financial instrument wanted by the Region and managed by Puglia Sviluppo to increase the level of capitalization and therefore the capital solidity of companies, has the first four managers of Alternative Investment Funds ( FIA ). This is Vertis Sgr , Avm Gestioni, Eureka Venture Sgr and Indaco Venture Partners Sgr , all specialized investors who have passed the selection procedure announced by Puglia Sviluppo and aimed at collecting proposals for participation with venture capital funds in investment operations in small and medium-sized innovative companies that have development programs in the Puglia area.

Vertis , an Asset Management Company ( SGR ) operating in Naples since 2008, takes stakes in research projects, spin-offs, startups and SMEs and is the reference for investments in innovative Made in Italy .

Avm Gestioni , a Milanese Sgr , invests in Italian companies that promote the generation of value and sustainability with a focus on Made in Italy , finance, robotics and life sciences.

Eureka! Venture, a Milan-based savings management company, is interested in high-impact technological investments, projects based on scientific research and investments in digital technologies.

Indaco Venture Partners , a Milanese SGR , specializes in companies that innovate in the electronics, robotics, new materials, medtech , biotech- pharma and digital sectors.

In addition to investing with their own resources, the four managers will be able to draw on co-investment funds made up of regional resources. They requested a public commitment of 10 million each, for a total amount of 40 million euros from the ERDF-ESF + 2021-2027 Regional Program funds .

“This measure – explains the councilor for economic development of the Puglia Region Alessandro Delli Noci – has also aroused great interest from other potential investors. For this reason we are evaluating the possibility of further increasing resources. Our priority is to push innovation in Puglia by supporting the development of companies in strategic sectors. Today in Puglia there are 747 technological startups and small innovative businesses. Our goal is to amplify its growth through access to the capital market and at the same time support Puglia's innovation to increase its competitiveness on all markets. The activation of the equity fund represents a further step capable of completing and improving the regional instrumentation, making it increasingly integrated and capable of involving more and more stakeholders in the pursuit of growth and development objectives".

“ Equity – added the president of the regional financial company and in-house company Puglia Sviluppo Grazia D'Alonzo – is a financial instrument complementary to all the other regional development measures and strategies, focused on innovation but also on attracting investors to Puglia . This last tool represents an important added value for creating a stable ecosystem to support technological startups and innovative SMEs that are giving a huge boost to Apulian innovation, thanks also to a regional research system that is increasingly proactive and attentive to the dynamics of development of these realities".

Once the agreements with the four Savings Management Companies have been signed, Puglia Sviluppo and the fund managers will activate a broad information campaign in the area to disseminate and maximize the effectiveness of the financial instrument.

How the tool works

The Funds will be able to make investments in newly issued risk capital ( equity ) through the injection of new liquid financial resources into companies.

The managers have applied to set up co-investment funds whose shares will be subscribed by Puglia Sviluppo with a commitment public (commitment) of 10 million euros for each fund which will be supported by resources from the same managers of at least the same amount. The regional financial instrument, with the budget currently being awarded of 40 million, will be able to bring new capital into Apulian startups and small and medium-sized enterprises for at least 80 million euros, with regional participation limited to 50% of each operation.

Investments in "target companies" (startups and small and medium-sized innovative enterprises) will be made pari passu , i.e. under the same terms and conditions between the co-investment fund established with public resources and the main fund of the specialized manager.