The LfA-EIF Facilities, established in 2009, are virtually structured fund of funds totaling c. €325 million with resources from LfA Förderbank Bayern and the EIF. The funds are managed by the EIF, aiming to address specific equity financing gaps at regional level.
The intention of LfA Förderbank Bayern and the Bavarian Ministry of Economic Affairs, Regional Development and Energy has been to broaden the range of venture capital funds and available equity capital offer for early-stage, technology-oriented SMEs in Bavaria. The EIF is helping to achieve this by strengthening the equity capital market and creating incentives to raise additional funds from private or public sector investors.
Achievements and focus
The LfA-EIF Facilities support venture capital funds investing in Bavaria. They target all technology areas (ICT, life sciences, energy-related innovations, as well as emerging and converging technologies), and are typically co-invested by other EIF managed mandates, e.g. the ERP-EIF Facility with its investment focus on Germany.
Commitments from the LfA-EIF Facilities, often combined with other EIF mandates like the ERP-EIF Facility, aim to support the funding of portfolio companies based or active in Bavaria. Supported funds are, however, not restricted to investing solely in Bavarian companies, and a sizeable proportion of the LfA-EIF Facility is being invested through non-Bavarian or non-German fund managers, aiming to invest in the Bavarian venture capital market.
So far, the LfA-EIF Facility has supported some 65 funds and more than 1 400 SME investments in Bavaria, Germany and Europe.
How to apply?
If you are a financial intermediary or a fund manager and you are interested in receiving an investment from EIF under DFF, please get in touch with your existing EIF relationship manager.