December 2 (SeeNews) - Catalyst Romania, backed by 3TS Capital Partners, said on Wednesday it is deploying a second venture capital fund to invest between 40 million euro ($48.2 million) and 50 million euro in breakthrough technology companies.
Catalyst Romania Fund II has been established as a result of being selected through the European Investment Fund’s (EIF) call for expression of interest to invest capital from JEREMIE Romania Reflows and the EU’s InnovFin Programme, Catalyst said in a press release.
In parallel, Catalyst has secured significant financial support from several private investors.
Catalyst Romania Fund II will focus on tech companies that have already launched products into their target markets and have experienced management teams. The fund will also pursue investment opportunities in other Eastern European countries and elsewhere, as long as companies have business substance in Romania, through operations, development teams or sales.
During the initial investment period, the fund plans to provide between 1 million euro and 3 million euro to 16 Romanian companies to support their growth objectives and international expansion plans.
„We are deploying a new VC fund at the right moment in time for the Romanian tech ecosystem. The industry is facing a new level of adoption fueled by Covid-19. Despite the human, social and economic turmoil, the pandemic pushes us to advance to a safer, more flexible and digital world on a faster pace than usual," Catalyst Romania managing partner Marius Ghenea said.
Some 15 million euro have been committed to Catalyst Romania II from JEREMIE Reflows and EIF’s InnovFin Equity Programme. The rest of the fund’s capital is secured through the participation of more than 30 private investors.
Catalyst Romania Fund II is the first ever 2nd-generation early stage venture capital fund in Romania, which follows Catalyst Romania Fund I, operated by 3TS’ local management team and financed through the JEREMIE Romania initiative.
The first fund invested more than 12 million euro in ten well-known Romanian tech companies in recent years, including Elefant.ro, Vola.ro, Vector Watch, AvocatNet.ro, SmartBill, GreenHorse Games and Omniconvert.
($=0.8299 euro)