News and Analysis

Launching a Market Test for the Technology Transfer Fund Financing Instrument

08.12.2016

The Fund Manager of Financial Instruments in Bulgaria EAD is launching a market test as part of its preparations to develop the terms and conditions and tender documents to select financial intermediaries to implement the Technology Transfer Fund, a financing instrument for equity/quasi-equity investments co-financed with resources from the Operational Programme Innovations and Competitiveness 2014-2020 (OPIC).

The market test consultations begin just four months after FMFIB EAD signed a Financing Agreement with the OPIC Managing Authority with a total budget for financing instruments for equity investments in the amount of EUR 150 million. That includes EUR 30 million budgeted for the Technology Transfer Fund, to be leveraged by private co-financing in the range of 10 to 30 per cent. Thus the overall amount of resources available to the Bulgarian economy in EU-funded financing instruments designed to stimulate innovation and support technology advancement will total at least EUR 33.3 million. Market consultations are targeted at the investment community, market participants and other stakeholders such as fund managers, investors, managing authorities, etc. The Technology Transfer Fund is a new instrument not only for Bulgaria but for Europe, and FMFIB EAD relies on the market test for input to optimize the structure of the financing instrument, taking into account the current situation on the market and the specific requirements of prospective financial intermediaries, private investors and enterprises seeking access to financing.

The investment focus of the Technology Transfer Fund will be on information technology, pharmaceutical and bio technology, mechatronics, nano- and clean technologies, and the creative industries.

More detailed terms and conditions for the implementation of the financing instrument are available on the FMFIB website, under the Technology Transfer Fund heading, where, as required by Article 44 of the Public Procurement Act, the indicative technical specifications to select financial intermediaries to implement the Technology Transfer and Innovation Funds financing instrument have been published.

Suggestions and comments on the draft technical specifications can be made by 18:30 on 10 February 2017 at the latest, at the following e-mail address: TTFOPIC@fmfib.bg.

The FMFIB reserves the right to arrange for meetings to hold structured interviews with interested institutions that are prospective financial intermediaries which have provided feed-back on the relevant publications.

For more information and FAQs on the market test consultations, the FMFIB EAD team can be reached by phone at +359 2 801 40 50.