The Union for Business Initiative participated with a presentation in the meeting held on March 2, 2021 with the advisor of the fund to the Three Seas Initiative (3SIIF) Amber fund management Limited. The event was organized by the Bulgarian Development Bank (BDB) and included over 90 participants from the leading employers’ organizations and businesses in the country.
They were introduced at the meeting the long-term investment instruments in the field of energy, transport and digital infrastructure from the fund to 3SIIF. The investment philosophy and the focus of the investment fund were outlined – investment assets and projects with potential for commercial return and sustainable long-term income from the activity will be sought. Targeted investments will be projects in the field of energy, transport and digital infrastructure, including those that will facilitate the transition to a carbon-neutral economy.
The fund to 3SIIF may invest equity in both public and private and public-private projects in the region, corresponding to the priority areas of support. Under certain conditions, the fund may also co – finance beneficiaries under EU operational programs, as long as their projects are eligible and guarantee sustainability. The target amount of investments is from 50 to 250 million. euros.
The initiative “Three Seas” is a political project of 12 European countries: Austria, Bulgaria, Estonia, Latvia, Lithuania, Poland, Romania, Slovakia, Slovenia, Hungary, Croatia and Czech Republic. During the 2018 Bucharest Summit it was decided to create an Investment Fund to finance it approved projects proposed by the participating countries. The expected target size of the Luxembourg – based fund is 3-5 billion euros, as the profile of potential investors include development institutions and banks in the region, multilateral financial institutions, etc.
The fund to 3SIIF is structured according to the best practices in the field of investments, a the selection of projects is carried out by a fund manager who benefits from the services of exclusive investment advisor – Amber Fund Management Limited. The selection of projects will be carried out on a purely market basis, as the fund manager and The investment adviser can benefit from the local knowledge of shareholders such as BDB.
At the moment the funds raised by shareholders in it are about 1.2 billion euros, which will be invested in the form of venture capital in priority projects for the countries of the region between the Baltic, Adriatic and Black Seas. Bulgarian Development Bank is an investor with a commitment of EUR 20 million in the fund.
Source: Bulgarian Development Bank.