EBRD Commits €10 Million to GapMinder Fund II to Foster Tech Innovation in Romania and Beyond

EBRD Commits €10 Million to GapMinder Fund II to Foster Tech Innovation in Romania and Beyond

(IN BRIEF) The European Bank for Reconstruction and Development (EBRD) has allocated €10 million to GapMinder Fund II, managed by Romanian venture capital firm GapMinder, to support early-stage technology-driven companies primarily in Romania and other EBRD regions. This investment aims to address the scarcity of long-term risk financing and bolster the venture capital ecosystem in economies where EBRD operates. By facilitating capital access for innovative startups, the initiative seeks to accelerate digital transition and foster sustainable growth in the technology sector. GapMinder’s successful fundraising amidst challenges underscores confidence in its vision and execution, marking a significant step towards nurturing the startup ecosystem in Romania and Southeastern Europe.

(PRESS RELEASE) LONDON, 23-Feb-2024 — /EuropaWire/ — The European Bank for Reconstruction and Development (EBRD) has committed €10 million to GapMinder Fund II, a venture capital fund managed by Romanian venture capital firm GapMinder. The Bank’s investment supports one of Romania’s first institutional local venture capital fund managers to build a diversified portfolio and provide capital to early-stage technology portfolio companies, enabling the continued growth of the Romanian technology and venture capital ecosystem.

GapMinder Fund II will make equity and quasi-equity investments in early-stage technology-driven companies in the EBRD regions, predominantly in Romania, but also in Bulgaria, Croatia, Moldova, Serbia and Slovenia.

A scarcity of long-term risk financing and a lack of a developed venture capital ecosystem remain key impediments to the development of innovative early-stage companies in the economies where EBRD invests. Supporting the growth of venture capital and regional-fund financing is therefore critical to ensuring that early-stage companies can thrive and introduce new technologies and business models to the EBRD markets.

“We are proud to partner with GapMinder to support the growth of high-potential technology companies in the EBRD regions. Our investment will contribute to the development of a sustainable venture capital market in our economies, and will accelerate their digital transition,” said Anne Fossemalle, EBRD Director of Equity Funds.

“We are excited to continue contributing to the development of the start-up ecosystem in Romania and South Eastern European countries. Our vision and strategy, as well as proven good execution and performance, are validated by the fact that we raised our successor fund during a challenging 2023. We are grateful for the high level of commitment and trust invested in us by the EBRD and by all our long-term investors, many of whom accompanied us along Fund I as well,” said Dan Mihaescu, GapMinder Founding Partner.

The EBRD is a leading institutional investor in Romania. To date, the Bank has invested more than €10.9 billion in 524 projects in the country, focusing on financing infrastructure, boosting private-sector productivity and further developing the financial sector and capital markets.

Media Contact:

Tel: +44 207 338 7805
Email: Group-PressUnit@ebrd.com

SOURCE: EBRD