Portugal Growth

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.

Investment Period

Up to 5 years

Financing

Up to 20.000.000,00€

Funders

Directorate-General of Treasury and Finance

Eligible Entities

SMEs
MidCaps

Portugal Growth

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.

Investment Period

Up to 5 years

Financing

Up to 20.000.000,00€

Funders

Directorate-General of Treasury and Finance

Eligible Entities

SMEs
MidCaps

Objectives and characteristics

  • Venture Capital Funds (VCFs) focused on growth capital investments and acquisitions of controlling shareholder positions (buyouts).

  • SMEs
  • MidCaps
  • Beneficiary Characteristics
    • Growth potential, namely through processes of productive innovation, internationalization, and digital transformation
  • How to Apply
    • 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
    • At the Venture Capital funds level:
      • Contact BPF/EIF directly
    • At the company level:
      • Contact the fund management companies:
        • Crest Capital Partners
        • Hcapital
        • Vallis Capital

  • In general, funds invest during the first 5 years of a 10-year activity cycle.

  • Mainly equity and quasi-equity instruments.
  • Geographical Scope
    • At the level of direct funds:
      • Funds managed by teams preferably based in Portugal or in the European Union
    • At the level of companies:
      • Preferably investments in Portugal
  • Conditions Applicable to Final Beneficiaries
    • Must be an SME or a Midcap, established or operating in Portugal
    • Cannot be considered an “undertaking in difficulty,” as defined in the European Commission communication “Guidelines on State aid for rescuing and restructuring non-financial undertakings in difficulty” No. 2014/C 249/01
    • At the time of the first EIF investment, the company cannot operate in any of the economic sectors referred to as “EIF Restricted Sectors” in the EIF restricted sectors guidelines

  • Private Investors / Financial Intermediaries
    • Venture Capital Funds, regulated by the Portuguese Securities Market Commission (CMVM)
    • Another equivalent European supervisory authority, with investment theses focused on growth capital investments and acquisitions of controlling shareholder positions (buyouts).
  • Financing by Private Investor / Financial Intermediary
    • Direct fund participation:
      • €4,000,000.00 to €20,000,000.00
    • Private participation:
      • At least 30% of the total capital subscribed in direct funds
  • Maximum Participation
    • 50%
  • Funders
    • Directorate-General of Treasury and Finance
  • Funds Involved
    • National public participation:
      • €50,000,000.00,
      • via the Fund of Funds for Internationalization (FFI), under the management of Banco Português de Fomento
    • European Investment Fund participation: €50,000,000.00

Objectives and characteristics

Venture Capital Funds (VCFs) focused on growth capital investments and acquisitions of controlling shareholder positions (buyouts).

SMEs
MidCaps
Beneficiary Characteristics
Growth potential, namely through processes of productive innovation, internationalization, and digital transformation
How to Apply
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
At the Venture Capital funds level:
Contact BPF/EIF directly
At the company level:
Contact the fund management companies:
Crest Capital Partners
Hcapital
Vallis Capital

In general, funds invest during the first 5 years of a 10-year activity cycle.

Mainly equity and quasi-equity instruments.
Geographical Scope
At the level of direct funds:
Funds managed by teams preferably based in Portugal or in the European Union
At the level of companies:
Preferably investments in Portugal
Conditions Applicable to Final Beneficiaries
Must be an SME or a Midcap, established or operating in Portugal
Cannot be considered an “undertaking in difficulty,” as defined in the European Commission communication “Guidelines on State aid for rescuing and restructuring non-financial undertakings in difficulty” No. 2014/C 249/01
At the time of the first EIF investment, the company cannot operate in any of the economic sectors referred to as “EIF Restricted Sectors” in the EIF restricted sectors guidelines

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, venture capital, expansion capital (early-stage), and development capital (growth capital)
Financing by Private Investor / Financial Intermediary
Direct funds participation: €20,000,000.00 to €50,000,000.00
Private participations: at least 30% of the total capital subscribed in direct funds
Maximum Co-Financing
70%
Funders
Fundo Azul (Blue Fund)
Involved Funds
National public co-financing: €25,000,000.00, via the Equity & Quasi-Equity Fund (FC&QC) managed by Banco Português de Fomento
European Investment Fund (EIF) co-financing: €25,000,000.00