www.value4capital.com

Value4Capital, the Poland and Central Europe focused mid-market private equity firm, announced that its V4C Poland Plus Fund has obtained over €80m in commitments in closings culminating on 25 Janaury, 2018. Commitments include funds from EIF and EBRD as well as a substantial portion of capital from private Polish investors. V4C expects to hold its final close no later than November 2018. The Fund has a hard cap of €150m.

Bill Watson, V4C’s Managng Partner commented: “In our initial closings, we have married the strong institutional support of the European Investment Fund (“EIF”) and the European Bank for Reconstruction and Development (“EBRD”) with a substantial amount of fully discretionary capital from local Polish investors. We believe this is one of the first times a diverse group of local investors has supported an institutionally backed Polish mid-market fund. Investors that know the market intimately are supporting the Fund.”

The Fund targets private equity investments in SMEs and small mid-cap companies, particularly in service industries, where organic growth and consolidation opportunities provide the potential for the target company to become a leader in its segment. Its focus is Poland, with a mandate to invest in Romania, the Baltics and selectively other Central European countries.

The EIF’s commitment benefits from the financial backing of the European Union under the European Fund for Strategic Investments (“EFSI”), set up under the Investment Plan for Europe. Under this plan, the SME Equity Product Window targets financing to private equity funds supporting this part of the economy. The purpose of EFSI is to help support financing and implementing productive investments in the European Union and to ensure increased access to financing. The commitment is the first to be deployed by EIF under the EFSI. EIF’s commitment also includes the indirect commitment of the PGFF (Polish Growth Fund-of-Funds) (PolskiFunduszfunduszy Wzrostu (PFFW) in Polish), an initiative created by cooperation between BGK - Bank Gospodarstwa Krajowego and EIF.

EIF Chief Executive, Pier Luigi Gilibert commented: “V4C’s focus on the lower mid-market of SMEs and small mid-caps matches one of EIF’s key priorities. Helping fund the development of this sector of the economy will be a major contributor to the long term growth and stability of the market.

Anne Fossemalle, the EBRD’s Director for Equity Funds commented: “We believe our early and substantial commitment to V4C as a returning investor helped catalyse investment from Polish investors, a new source of funding for V4C and this segment of the market. The development of an active local investor base for mid-market funds will complement the established private equity eco-system in the region.”

 

About Value4Capital
V4C is a private equity firm focused on investments in mid-market Polish and Central European companies. We target investments in established small and mid-cap companies to build market leaders through consolidation and growth. Our main focus is service businesses. We became independent as V4C in late 2011, when we spun-out of Amundi Private Equity Funds (formerly SGAM). V4C is now owned by its three partners, who have worked together since 2007. Each of them brings over 25 years of experience in the region gained working with international firms. Our current fund, V4C Eastern Europe was raised in 2006 / 2007 with Euro 156m of committed capital. It was invested in mid-market companies in Poland and Romania, most of which are now exited. See more about our team and strategy here. V4C Poland Plus Fund SICAV-FIAR S.C.A. and its general partner V4C General Partner S.a. r.l. have their registered offices at 6, rue Eugene Ruppert, L-2453 Luxembourg and can be contacted on polandplus@value4capital.com.

About the European Investment Fund
The European Investment Fund (EIF) is part of the European Investment Bank Group. Its central mission is to support Europe's micro, small and medium-sized businesses (SMEs) by helping them to access finance. EIF designs and develops venture and growth capital, guarantees and microfinance instruments which specifically target this market segment. In this role, EIF fosters EU objectives in support of innovation, research and development, entrepreneurship, growth, and employment. The Investment Plan for Europe focuses on breaking down barriers to investment, providing visibility and technical assistance to investment projects and making smart use of new and existing financial resources. More information on EIF's work under EFSI is available here. EFSI is already seeing results. The projects and agreements approved for financing under EFSI so far are expected to mobilise over EUR 164 billion in total investments across 28 Member States and to support more than 385 000 SMEs. Based on this success, on 14 September 2016 the European Commission proposed extending the Plan, increasing its capacity and duration and reinforcing its strong points. The latest figures on EFSI by sector and country can be found here.

About EBRD
The EBRD is a multilateral bank committed to the development of market-oriented economies and the promotion of private and entrepreneurial initiative in more than 30 countries from Morocco to Mongolia and from Estonia to Egypt. The Bank is owned by 65 countries, the EU and the EIB. The EBRD’s strategic plan for the countries where it invests for the period 2016-18 has three priorities: strengthening economic resilience, addressing global challenges and supporting regional integration. Follow us on the web, Facebook, LinkedIn, Instagram, Twitter and YouTube.

Contacts:
V4C: Bill Watson (bill.watson@value4capital.com) +48 22 627 4000 / +33 6 08 00 9793
EIF: David Yormesor (d.yormesor@eif.org) / +352 42 66 88 346
EBRD: Press Office (press@ebrd.com) / +44 20 7338 6000