FINANCIAL INCENTIVES OF THE SLOVENE ENTERPRISE FUND (CENTRAL EUROPE - PowerPoint PPT Presentation

FINANCIAL INCENTIVES OF THE SLOVENE ENTERPRISE FUND (CENTRAL EUROPE FUND of FUNDS) Joint Investment Conference – Unlocking the investment potential 16. November 2017

PURPOSE OF THE OPERATION 1. Chapter name here  improve access to favourable financial sources for SMEs

4.800 enterprises 1. Chapter name here THE FORM OF FINANCIAL INCENTIVES 2010 - 2017 1,75 bn EUR 1. CLASSIC LINE= 98 % 2. EQUITY LINE=2 %

RESULTS OF EQUITY LINE 1. Chapter name here 1. CLASSIC LINE 100 supported enterprises 2. EQUITY LINE 35,7 mio EUR

CASE STUDY 1. Chapter name here Established:  17.3.2015 COMPANY Financial SK75 2015  VIAR Ltd. sources: (SPS) Private investors  Important June 2016 :  develops milestones: admission into US WEB PLATFORM FOR VR accelerator 9MileLabs in Seattle Compound Annual Growth Rate 256 % June 2017:  Investment Kolektor Ventures Ltd. 10 Start up of the  employees year 2017

CASE STUDY 1. Chapter name here Established:  12.8.2015 Winner of Social Innovator award of FEELIF INC. European Commission Financial P2 incentive  SK75 2016  sources: Social innovator Feelif device for blind and visually impaired enables them to feel shapes on a standardised display .

RESULTS OF EQUITY LINE 1. Chapter name here 1. CLASSIC LINE 100 supported enterprises 2. EQUITY LINE 35,7 mio EUR

MODEL 2009 - 2015 1. Chapter name here

CASE STUDY 1. Chapter name here Established:  2009 Compound Annual Growth Rate 228 % COMPANY 2009-2016 CELTRA INC. 2010: Entry of RS through  Financial VC Prvi sklad Ltd. in the amount of 900.000 EUR sources: Most successful and promising 2011: Fairhaven Capital Important  slovene milestones: Partners technology start (5 m USD) up company in 2013: SoftBank Capital  America (4 m USD) 2017: WPP Ventures and  Mobilie marketing and Unilever Ventures advertising app 160 employees (15 m USD) (PLATFORM AdCreator) 2017: partial sale of the  share of VC Prvi Sklad Ltd. – with ROI of 630%

New opportunities for growth financing will be offered to ambitious Slovenian small and medium-sized enterprises and small mid-caps: CENTRAL EUROPE FUND OF FUNDS (CEFoF)

The private equity market activity in the target countries remains uneven and below the level of the most developed EU areas. All PE investments as % of GDP in 2016 Vir: Invest Europe – Central Eastern Europe Statistics 2016 – August 2017 11

What is CEFoF? 1. New investment fund-of-funds initiative 2. Included countries: Slovenia, Austria, Czech Republic, Slovakia and Hungary 3. Created by European Investment Fund (EIF) following carefully conducted market research, in close cooperation with the governments and national agencies and based on the best practice of already existing fund-of-funds managed by EIF for Baltic States – Baltic Innovation Fund 12

THE MAIN OBJECTIVES OF CEFOF Establishing a Increase the sound market- level of equity based investments infrastructure made into growth (appropriate number of focussed SMEs and competing private fund small mid-caps in the management teams); Central European region Implementing Creating the and introducing best entry the best conditions to market attract institutional standards for investors and fund managers to Central equity investments in Europe enterprises 13

MARKET DEVELOPMENT PLAN

STRUCTURE OF CEFOF-A PUBLIC INVESTORS International European Invetment Investment Bank Czech Republic Fund Slovakia IIB IIB EIF EI Austria Hungary Slovenia Managed by EIF 80-100 m EUR PRIVATE EQUITY/ VENTURE CAPITAL FUNDS PI2 PI3 PI1 PI4 PI5 PI6 Legend: 160 – 200 m EUR EQUITY INVESTMENTS PI1 Private Companies with high growth potential Companies with high growth potential investor 1 „CE Region“

CEFOF – OVERVIEW AND KEY PARAMETERS 10-25 m EUR 5-8 funds 20% Indicative range for venture capital or private equity funds will be sourced Concentration limit individual CEFoF and selected by EIF based on their proven VC /PE for any single fund investment commitments experience and insight on the CE region market manager commitment to a single fund 4 years Indicative equity CEFoF launch is expected tickets of up to At the end of 8m EUR November 2017 Investment period 16

CONTRIBUTION, ACTIVE ROLE OF SLOVENIA AND EXPECTED RESULTS Expected results SEF 8 m EUR Supported approx. 10 The Government Will actively Is the commitment globally oriented companies participate with a of the Republic of Slovenia in the with high growth potential in seat in the Advisory CEFoF and the of Slovenia and Slovenia Board funds are the Ministry of provided by SEF Economic Development and Technology Expected leverage ratio gave the Government 4x on the participating Management Agreement approval and the countries‘ commitments support to the (2x on the level of CEFoF, Was signed by SEF in August 2017 project another min. 2x on the level of underlying funds)

CONTACT AND LOCATION Information is available through:  the website: www.podjetniskisklad.si  info mail: info@podjetniskisklad.si  telephone: +386 ( 0)2234-12-60  E-news. Slovene Enterprise Fund Ulica kneza Koclja 22 2000 Maribor

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