Participative Capital Azores I

The Azores Participatory Capital I program aims to strengthen companies’ access to capitalization instruments, promoting private investment and sustainable growth. The program offers participatory loans with conditions tailored to each beneficiary’s profile, encouraging competitiveness and business dynamism.

Maximum Co-payment

70%

Financing

Up to 300.000,00€

Funders

IAPMEI

Eligible Entities

Microenterprises
SMEs
MidCaps

Participative Capital Azores I

Portugal Growth is a program of the Portuguese Development Bank (BPF) that supports the growth and consolidation of SMEs and MidCaps in Portugal. Its objective is to finance companies with high expansion potential through development capital funds and acquisitions (buyouts), promoting innovation, internationalization, and the digital transformation of the Portuguese business sector.

Maximum Co-payment

70%

Financing

Up to 300.000,00€

Funders

IAPMEI

Eligible Entities

Microenterprises
SMEs
MidCaps

Objectives and characteristics

  • Aims to promote access to capitalization funds for companies headquartered and operating in the Autonomous Region of the Azores, with the following priorities:
    • Bridge the market gap in access to financial and equity instruments
    • Contribute to reducing the undercapitalization of companies in the Region and address difficulties in raising financing from Financial Intermediaries, fostering private investment and business dynamism

  • Microenterprises
  • SMEs
  • MidCaps
  • Geographical Scope
    • Companies headquartered and carrying out economic activity in the Autonomous Region of the Azores.

  • The investment is made directly by the Azores Corporate Capitalization Fund to the Final Beneficiaries through participative loans in the form of mutual loans.
  • Accredited Financial Intermediaries
    • Caixa Económica da Misericórdia de Angra do Heroísmo
    • Caixa de Crédito Agrícola Mútuo dos Açores
    • Millennium BCP – Banco Comercial Português
    • Banco Montepio
    • Novo Banco dos Açores
  • Conditions Applicable to Investments
    • Financing of investments in the Autonomous Region of the Azores
      • Reinforcement of working capital for payments due in the scope of its activity in the Autonomous Region of the Azores, except for:
        • Acquisitions of goods and services not carried out under market conditions and/or to third parties related to the acquirer
        • Operations intended for the acquisition of land, real estate, and second-hand goods, including the purchase of vehicles that do not qualify as “means of production” and road freight transport vehicles acquired by road freight carriers on behalf of third parties
      • Repayment of previous debt, except if it is subsidized or guaranteed by public funds or entities (excluding credit institutions)
      • Any other purpose associated with activities carried out under its share capital in the Autonomous Region of the Azores

  • Financing per Beneficiary
    • From €20,000.00 up to €300,000.00
  • Interest Rate, Costs, and Fees
    • Interest
      • Annual rate of 0.5% for low rating levels
      • Annual rate of 1.25% for medium rating levels
      • Annual rate of 2.0% for high rating levels
    • Fees
      • Annual monitoring fee of 1%, with a minimum of €500.00/year, calculated on the outstanding loan amount not yet reimbursed
        • An additional variable annual remuneration may be applied, with a maximum limit of 50% of the annually distributable profits
  • Private Investors / Financial Intermediaries
    • Venture Capital Funds regulated by the Portuguese Securities Market Commission (CMVM) or another equivalent European supervisory authority, with investment theses focused on technology transfer investments, venture capital, and growth capital (early-stage).
  • Financing by Private Investor / Financial Intermediary
    • Co-investment by direct fund:
      • €4,000,000.00 to €20,000,000.00
    • Private co-investment:
      • At least 30% of the total capital subscribed in the direct funds
  • Maximum co-investment share:
    • 70%
  • Financiers
    • IAPMEI
  • Funds Involved
    • National public co-investment: €50,000,000.00
      • via the Capital & Quasi-Capital Fund (FC&QC), financed by IAPMEI
      • Public Institute for Competitiveness and Innovation, and managed by the Portuguese Development Bank (Banco Português de Fomento)
    • European Investment Fund co-investment: €50,000,000.00

Objectives and characteristics

Aims to promote access to capitalization funds for companies headquartered and operating in the Autonomous Region of the Azores, with the following priorities:
Bridge the market gap in access to financial and equity instruments
Contribute to reducing the undercapitalization of companies in the Region and address difficulties in raising financing from Financial Intermediaries, fostering private investment and business dynamism

Microenterprises
SMEs
MidCaps
Geographical Scope
Companies headquartered and carrying out economic activity in the Autonomous Region of the Azores.

The investment is made directly by the Azores Corporate Capitalization Fund to the Final Beneficiaries through participative loans in the form of mutual loans.
Accredited Financial Intermediaries
Caixa Económica da Misericórdia de Angra do Heroísmo
Caixa de Crédito Agrícola Mútuo dos Açores
Millennium BCP – Banco Comercial Português
Banco Montepio
Novo Banco dos Açores
Conditions Applicable to Investments
Financing of investments in the Autonomous Region of the Azores
Reinforcement of working capital for payments due in the scope of its activity in the Autonomous Region of the Azores, except for:
Acquisitions of goods and services not carried out under market conditions and/or to third parties related to the acquirer
Operations intended for the acquisition of land, real estate, and second-hand goods, including the purchase of vehicles that do not qualify as “means of production” and road freight transport vehicles acquired by road freight carriers on behalf of third parties
Repayment of previous debt, except if it is subsidized or guaranteed by public funds or entities (excluding credit institutions)
Any other purpose associated with activities carried out under its share capital in the Autonomous Region of the Azores

Financing per Beneficiary
From €20,000.00 up to €300,000.00
Interest Rate, Costs, and Fees
Interest
Annual rate of 0.5% for low rating levels
Annual rate of 1.25% for medium rating levels
Annual rate of 2.0% for high rating levels
Fees
Annual monitoring fee of 1%, with a minimum of €500.00/year, calculated on the outstanding loan amount not yet reimbursed
An additional variable annual remuneration may be applied, with a maximum limit of 50% of the annually distributable profits
Private Investors / Financial Intermediaries
Venture Capital Funds regulated by the Portuguese Securities Market Commission (CMVM) or another equivalent European supervisory authority, with investment theses focused on technology transfer investments, venture capital, and growth capital (early-stage).
Financing by Private Investor / Financial Intermediary
Co-investment by direct fund:
€4,000,000.00 to €20,000,000.00
Private co-investment:
At least 30% of the total capital subscribed in the direct funds
Maximum co-investment share:
70%
Financiers
IAPMEI
Funds Involved
National public co-investment: €50,000,000.00
via the Capital & Quasi-Capital Fund (FC&QC), financed by IAPMEI
Public Institute for Competitiveness and Innovation, and managed by the Portuguese Development Bank (Banco Português de Fomento)
European Investment Fund co-investment: €50,000,000.00