Overview of the EIB Group Financial Instruments for SMEs

Transcription

1 Overview of the EIB Group Financial Instruments for SMEs Lublin, 22 June 2015 Tomasz Kozlowski Head of Innovation & Alternative Financing Programmes European Investment Fund European Investment Bank Group 1

2 Providing finance and expertise for sound and sustainable investment projects Leading developer of risk financing for (innovative) SMEs European Investment Bank Group 2

3 Growth and jobs: four key priorities We work to promote sustainable growth and job creation in Europe and beyond EUR 22.2bn EIB EUR 3.3bn EIF EUR 20.6bn EIB EUR 13bn EIB EUR 1.65bn EIF EUR 19.1bn EIB European Investment Bank Group 3

4 Leading developer of risk financing for (innovative) SMEs European Investment Bank Group 4

5 What is the EIF? We provide risk financing to stimulate entrepreneurship and innovation in Europe Making finance more accessible and helping SMEs to innovate and grow Offering a large array of targeted products to support SMES ranging from venture capital to guarantees and microfinance to SMEs Working with financial intermediaries across the EU-28 EFTA countries, candidate & potential candidate countries Supporting the market in a countercyclical way European Investment Bank Group 5 5

6 A few facts about EIF We pursue EU policy objectives and financial sustainability Shareholders unique tripartite structure: 63.7% European investment Bank (EIB), 24.3% European Commission (EC), 12% 26 public & private financial institutions (FIs) AuM of EUR 14bn, mobilising over EUR 77bn with other market players AAA-rated by three major rating agencies Capital increase to EUR 4.5bn ensuring strong capital base European Investment Bank Group 6

7 EIF s Counterparts We work with a wide range of counterparts to support SMEs Resources and Mandators European Investment Bank EIF own resources European Commission Member States/regions Managing Authorities Corporates/private Public institutions Other third parties Intermediaries and counterparts Fund Managers Commercial Banks Development & Promotional Banks Guarantee Institutions Leasing Companies Corporates Business Angels Microfinance Institutions microenterprises, Micro- PMEs SMEs et and les small mid-caps European Investment Bank Group 7 7

8 Helping SMEs at every Stage of their Development Public Stock Markets Portfolio Guarantees & Credit Enhancement Formal VC Funds & Mezzanine Funds Social Impact Funds VC Seed & Early Stage Microcredit Business Angels, Technology Transfer PRE-SEED PHASE SEED PHASE START-UP PHASE EMERGING GROWTH DEVELOPMENT HIGHER RISK 8 SME Development Stages LOWER RISK European Investment Bank Group 8

9 EIF presence in Poland In EUR, as of 31/12/14 Microfinance Guarantees Equity EIF commitments 15m 134m 208m Catalysed amount 31m 680m 874m Expected mobilised resources 45m 1.3bn 1.4bn # SMEs >3.5K >15K >50 # Intermediaries Deutsche Bank PBC Inicjatywa Mikro Sp. z o.o FM Bank S.A. Pekao S.A. TISE Polfund 21 Concordia Equitin Patners Fund Reiffeisen Leasing ALIOR Bank S.A. European Investment Bank Group Avalon MBO Fund II 9

10 New EU Programmes helping SMEs at every Stage Public Stocks Guarantees & Debt Programmes Equity Programmes EIB InnovFin products COSME Equity Facility for Growth InnovFin SME Guarantee SME Initiative COSME Loan Guarantee Facility Cultural and Creative Sector Guarantee Facility* InnovFin SME Venture Capital EaSI* (Employment & Social Innovation) * Under development ERASMUS+ Student loans InnovFin Tech Transfer* PRE-SEED PHASE SEED PHASE START-UP PHASE EMERGING GROWTH DEVELOPMENT SME Development Stages HIGHER RISK 10 LOWER RISK European Investment Bank Group 10

11 EU Programmes for SMEs(1) InnovFin SME Guarantee COSME Loan Guarantee Facility ERASMUS + Students loans Targeted final beneficiaries Innovative SMEs and small mid-caps Higher risk SMEs Students (Masters) Predecessor RSFF/RSI CIP/SMEG EU contribution (indicative) EUR 1,060m EUR 660m EUR 517m Expected EU leverage X 10 X 20 X 6 Matching EIF senior / EC FLP EIF for securitization Instrument type Uncapped guarantees Capped guarantees/ securitization Capped guarantees Parties EC/EIF (EIB for midcaps & large projects) EC/EIF EC/EIF EU DG DG R&I DG GROW DG EAC Signing date June 2014 July 2014 December European Investment Bank Group 11

12 EU Programmes for SMEs(2) EaSI SME Initiative Cultural Creative Sector Guarantee Facility Targeted final beneficiaries Micro-enterprises + social enterprises SMEs SMEs in the cultural and creative sector Predecessor Progress EU contribution (indicative) EUR 180m Up to EUR 8bn EUR 121m Expected EU leverage X 4 InnovFin: X 9, COSME: X 20 Members States: X 4 X 5 Matching EIB/EIF/EC EIB/EIF/EC/MS Instrument type Capped guarantees + loans to MFIs Uncapped guarantees/ securitization Capped guarantees Parties EC/EIF EIB in the cash instrument EC/EIF/EIB/MS/others EC/EIF EU DG DG EMPL DG REGIO, R&I, GROW DG CONNECT Signing date mid 2015 Q Q European Investment Bank Group 12

13 EU Programmes for SMEs(3) InnovFin Tech Transfer InnovFin SME Venture Capital COSME Equity Facility for Growth Targeted final beneficiaries SPIN offs SPIN outs, joint ventures, TT projects Innovative SMEs and small mid-caps Expansion and growth stage SMEs Predecessor CIP GIF 1 CIP GIF 2 EU contribution (indicative) EUR m (pilot phase) EUR 430m Up to EUR 660m Expected EU leverage X 4-6 X 4 X 6 Co-investment EIF co-investment (asymmetric model) EIF co-investment (parri passu) EIF co-investment (parri passu) Instrument type Tech Transfer Venture Capital Growth Stage Parties EC/EIF EC/EIB/EIF EC/EIF EU DG DG R&I DG R&I DG GROW Signing date Q4 2015/Q June 2015 July 2014 European Investment Bank Group 13

14 InnovFin Overview European Investment Bank Group 14

15 Six simple steps to loan funding InnovFin Online Tool The EIB Group and DG Research and Innovation have developed a loan matching platform: Six simple steps to loan funding to provide you with easy access to information on European financing solutions for innovation projects. The electronic portal can be accessed at European Investment Bank Group 15

16 Simple structure Eligibility Criteria Key Loan terms Tangible & Intangible Assets Working Capital Business Transfers Term & Revolving Loans EUR 25K- 7.5m Maturity 1-10 years Attractive guarantee fee Financial Benefit transfer European Investment Bank Group 16

17 COSME Equity instrument PRE-SEED PHASE SEED PHASE START-UP PHASE EMERGING GROWTH DEVELOPMENT Multi-stage Funds VC and BA funds focusing on early stage companies Investment size up to EUR 30m up to 50% of total commitments (CATALYTIC) Focus on Horizon 2020 (ICT, life sciences, clean energy, high-tech) EIF s standard screening and selection process Investment size up to EUR 30m Up to 25% of total commitments Focus on companies in their expansion & growth phase European Investment Bank Group 17

18 Simple structure COSME Loan Guarantee Facility GR 50% Cap Rate 20% Financial Intermediary New Loans/leases SMEs Key Loan terms Tangible & Intangible Assets Typically Loans up to EUR 150k Working Capital Maturity 1-10 years Guarantee fee: 0% Term & Revolving European Investment Bank Group 18

19 EaSI Guarantee Simple structure GR 80% Cap Rate 30% Financial Intermediary New loans/leases Microenterprises Key terms Max loan amount Micro: 25k Social: 500k New: code of good conduct for microfinance providers Target also vulnerable groups New: definition of social enterprises Term Micro: up to 6 years Social: up to 10 years Term & Revolving European Investment Bank Group 19

20 Simple structure Cultural and Creative Sector Guarantee Facility GR 70% Cap Rate 25% Financial Intermediary New loans Eligibility Criteria SMEs in the Cultural and Creative Sector Key Loan terms Tangible & Intangible Assets Business Transfers No private collateral Working Capital Loans up to EUR 2m Maturity 1-10 years Term & Revolving Guarantee fee- 0% European Investment Bank Group 20

21 EIF search tool European Investment Bank Group 21

22 Providing finance and expertise for sound and sustainable investment projects European Investment Bank Group 22

23 2 routes to EIB financing for SMEs and Mid-caps Direct Loans Large-scale investments (typically above EUR 25m) EIB Intermediated Loans (SMEs) Small and medium-scale projects (particularly to SMEs) via local intermediary banks Lending decision remains with the financial intermediary EIB Company Public or Private Bank/ Leasing Company Improved loan Investment Company Investment European Investment Bank Group 23

24 EIB intermediated lending Partner bank or leasing company Investment and (revolving) working capital loans & leasing SME/MidCap Beneficiary SME/MidCap Beneficiary SME/MidCap Beneficiary SME/MidCap Beneficiary SME/MidCap Beneficiary Transparency Final beneficiaries are informed of EIB involvement Main features Transfer of Financial Advantage Financial intermediaries benefit from financial value added and transfer an agreed share to the SME and/or MidCap final beneficiary, as interest rate reduction and longer loan tenor Complementarity EIB leverage effect Financial intermediaries commit to provide SME/MidCap loans of at least 2 times EIB loan amount European Investment Bank Group 24

25 Benefits of an EIB loan EIB lowers financing costs (AAA rating) EIB increases availability of financing EIB extends loan tenors Facilitates ALM with funding in PLN and foreign currencies at tenors above what is readily available. EIB financing is used by an increasing number of banks and leasing companies European Investment Bank Group 25

26 Polish SMEs benefit from EIB loans 17 active Polish banks European Investment Bank Group 26

27 InnovFin EIB products InnovFin MidCap Guarantee Senior risk sharing with financial intermediaries for innovative MidCaps Portfolio of new Research Development Innovation (RDI) loans or existing portfolio with commitment to provide new RDI loans Guarantee pricing based on revenue sharing with financial intermediaries InnovFin MidCap Growth Finance Direct loan, quasi-equity & mezzanine financing to innovative MidCaps Amounts between EUR 7.5m 25m (max 50% project cost) Successful pilot programme in 2013 Streamlined EIB application & approval process European Investment Bank Group 27

28 Contact Details Tomasz Kozlowski Head of Innovation & Alternative Financing Programmes Phone: (+352) European Investment Bank Group 28