New €200M equity agreement boosts Greek startups in Life Sciences and Sustainability

The agreement, which involves managing €200 million from EU Cohesion Policy Funds and national resources, was signed today in Athens.

Greek startups and small and medium-sized enterprises (SMEs) specializing in life sciences, healthcare, and sustainability are set to benefit from enhanced access to investment finance, thanks to a new equity agreement facilitated by the European Investment Fund (EIF), part of the European Investment Bank (EIB) Group. The agreement, which involves managing €200 million from EU Cohesion Policy Funds and national resources, was signed today in Athens. This initiative will provide crucial equity financing for risk finance investments throughout Greece.

The signing ceremony saw key participants including EIB Vice-President Ioannis Tsakiris, Greece's Alternate Finance Minister Nikos Papathanasis, and EIF Chief Executive Marjut Falkstedt. This equity mandate, dubbed Equifund II, aims to bolster companies at the forefront of innovation by enhancing their access to vital equity financing, thereby helping them to be more competitive and maximize their growth potential.

Ioannis Tsakiris highlighted the EIB Group’s long-standing role in leveraging cohesion funding to accelerate private investment and support Europe's most dynamic enterprises. "Since 2009, the EIB Group has played a pivotal role in supporting the development of the Greek venture capital and private equity ecosystem," Tsakiris said. He emphasized that initiatives like Equifund II are crucial for promoting cohesion and boosting competitiveness across the EU.

Alternate Finance Minister Nikos Papathanasis expressed the government's commitment to expanding financing options and supporting entrepreneurship, particularly in innovative and sustainable sectors. He stressed the importance of utilizing every available resource to create a more competitive economy and a cohesive society with better job opportunities for Greeks.

EIF Chief Executive Marjut Falkstedt announced the launch of Equifund II, marking the continuation of a fruitful partnership with the Greek government aimed at nurturing the country’s growing startup ecosystem. "This new initiative focuses particularly on the Life Sciences and Social Sustainability sectors, which are among the most dynamic in the Greek economy," Falkstedt noted, highlighting the goal to drive innovation and job creation.

Equifund II will support a range of investment stages, from pre-seed and seed phases to growth investments, addressing the financing gap in life sciences, healthcare, and sustainability sectors. It aims to cater to the entire spectrum of venture capital and private equity investments based on market needs.

This initiative is a successor to the original Equifund equity mandate launched in 2016, which significantly boosted Greece's startup ecosystem from its nascent stages and is celebrated as one of the EU’s most successful examples of equity financing supported by European structural and investment funds.