SEAF Macedonia


FYR Macedonia

Project number:


Business sector:

Equity funds

Notice type:


Environmental category:


Approval date:

27 Apr 1999



PSD disclosed:

01 Apr 1999

Project Description

SEAF-Macedonia LLC will be a US$ 13 million fund, established in Delaware, which will make equity and quasi-equity investments in small and medium-sized local companies. The fund will be managed by the Small Enterprise Assistance Funds (SEAF).

Equity capital remains virtually inaccessible for small and medium-sized enterprises in the country. One of the main factors limiting the ability of local banks to lend long term to this sector is the lack of adequate equity capital on the balance sheets of most SMEs. The main project objective is to provide equity financing for SME companies and to actively support their development.

Transition Impact

The project will lead to the development of skills as SEAF will work closely with the management of the portfolio companies. It will demonstrate to the local market how to finance the growth of enterprises and will, thereby, act as a model for other operations. SEAF will train local investment officers in modern financing and business techniques, thus transferring financial and management know-how. The fund also will also set standards for corporate governance and business conduct.

The Client

The fund will invest in companies with strong growth potential. Targeted businesses will generally have, prior to investment, between 5 and 100 employees and between US$ 150,000 and US$ 2 million annual turnover. Potential portfolio companies will be majority locally owned. They will be private or "to be privatised" and will operate in the country. Investments, including follow-on investments, will range between US$ 400,000 and US$ 1 million.

EBRD Finance

The EBRD investment will total US$ 4 million, which will represent 30.77 per cent of the capital of the fund.

Project Cost

The total value of the fund is US$ 13 million

Environmental Impact

The fund will have an Environmental Policy to ensure that identification, analysis, approval and monitoring of portfolio investments is carried out with due regard to environmental factors and in accordance with the EBRD’s Environmental Procedures for Private Equity Funds. The fund will make no investment in companies engaged in activities listed on the EBRD’s Environmental Exclusion List, and will report to the Bank annually on the environmental performance of its investee companies.

Technical Cooperation

SEAF has received directly from USAID a US$ 1 million grant that will partially cover some initial operating expenses and some portfolio company development expenses.


Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out how to submit a Request for review through our confidential online form, by email, mail or telephone. IPAM is available to discuss your concerns and answer any questions you may have about the submission or handling of Requests, which follow the Project Accountability Policy and Guidance. Requestors’ identities may be kept confidential, upon request.

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