ANNOUNCEMENT 31 May 2017

In May 2017,  the Federal Government of Germany announced its investment in the venture capital fund High-Tech Start-up Fund. 

 

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

KFW IPEX-BANK, PRESS RELEASE FROM 2017-05-31, KfW invests for the third time in the High-Tech Start-up Fund (HTGF)
https://www.kfw.de/About-KfW/Newsroom/Latest-News/Pressemitteilungen-Details_417024.html#:~:text=KfW%20continues%20to%20dedicate%20itself,start%2Dups%20shares%20in%20capital.

Inception date: 31 May 2017 | Removal date: open ended

Capital injection and equity stakes (including bailouts)

On 31 May 2017, the Federal Government of Germany announced an investment of EUR 170 (USD 191) million in VC fund High-Tech Start-up Fund (HTGF). This funding aims at fostering German start-ups that are R&D intensive in order to ensure their successful launch. HTGF is a public-private venture capital investor that focuses on industrial tech, digital tech, life sciences and chemicals sectors. 

Notably, HTGF also benefited from an investment of EUR 40 million from the KfW IPEX-Bank which did not meet the GTA reporting criteria. 

In this context, Dr Ingrid Hengster, Member of KfW's Executive Board, stated that "young, innovative technology companies are of key importance for Germany's competitive edge. In the seed and start-up phases, these companies require a sustainable provision of private equity. The High-Tech Start-up Fund has established itself as a successful key partner in venture capital. The increased contribution from private investors, compared to the first two funding rounds, is confirmation of this. At the same time, it supports us in our goal to mobilise private capital in larger amounts for the financing of high-tech start-ups."

A state act in the GTA database is assessed solely in terms of the extent to which its implementation affects foreign commercial interests. On this metric, the investment support granted here is discriminatory.

 

AFFECTED PRODUCTS

 
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