Project description
and objectives:
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The proposed project is a private equity fund, dedicated to investing in
mid-size private companies that are strategically positioned to capitalise on
the economic growth of the second-wave of EU accession countries, primarily in
Romania and Bulgaria. The Fund reached its First Close in January 2005; the
Second Close is expected to take place in September 2006 with a target total
capital commitment of up to EUR 100 million (with a maximum size of EUR 125
million). The Fund Manager has over ten years of investment activity in the
region while managing the Romanian-American Enterprise Fund and the
Bulgarian-American Enterprise Fund.
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Transition impact:
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The proposed investment in BAF will: a) support the development of an
independent and technically first time fund manager who has the potential to
become a well performing niche financial intermediary in financing
medium-sized companies; b) support the development of a number of companies in
the second wave accession countries by providing scarce equity finance,
financial and other expertise; and c) help attract funding from investors new
to the Region.
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The client:
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The Balkan Accession Fund C.V. is a Netherlands Antilles limited partnership,
dedicated to investing primarily in Romania and Bulgaria. The primary Sponsor
is the Romanian-American Enterprise Fund and has committed EUR 40 million,
which makes it the Fund’s largest shareholder.
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EBRD finance:
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The Bank has made an equity commitment of EUR 22 million, or 20% of total
aggregate capital commitments of the Fund. The Romanian-American Enterprise
Fund, the Bulgarian-American Enterprise Fund, the Netherlands Development
Finance Company (FMO) and Deutsche Investitions und Entwicklungsesellschaft
mbH (DEG) are co-investors in the Fund.
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Total project cost:
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EUR 110 million.
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Environmental impact:
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The Fund will follow the EBRD's Environmental Procedures for Private Equity
Funds. In implementing these procedures, the Fund will assess potential
environment, health, safety and labour issues associated with its investments
which are required to comply, at a minimum, with local/national health,
safety, labour, environmental and public consultation requirements.
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Technical
cooperation:
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None.
For consultant opportunities for projects financed by technical cooperation
funds, visit procurement
of consultants.
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Company contact:
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Romania
Horia Manda
Managing Partner
Balkan Accession
Fund
Tel: +40 21 2077100
E-mail: horia.manda@bafund.net
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EBRD contact:
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Meltem Ankara, Operation Leader: ankaram@ebrd.com
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Business opportunities:
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For business opportunities or procurement, contact the client company.
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General enquiries:
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EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168; Fax: +44 20 7338 7380
Email: projectenquiries@ebrd.com
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