Den Sociale Kapitalfond Invest, a new equity fund investing in SMEs with a social profile, has launched.
Den Sociale Kapitalfond Invest has already received the backing of a number of substantial investors, including the European Investment Fund and The Danish Growth Fund as cornerstone investors, in addition to Novo Nordisk Foundation, TryghedsGruppen, the Hempel Foundation and the Færch Foundation.
Further investors are expected to join in the coming months.
At present, the fund has a size of DKK 218m.
Led by Lars Jannick Johansen, Managing Partner, Den Sociale Kapitalfond Invest is a new social impact fund in the Nordic region, which will make minority investments (typically 10-49%) in small and medium-sized enterprises in Denmark and South Sweden within trade, industry and services with a turnover of DKK 30m – 200m.
The vehicle focuses on companies with high growth potential coupled with a strong social commitment to employing people from the margins of the labour market, contributing to development in under-resourced neighbourhoods or developing goods and services that can support vulnerable people.
Its goal is to strengthen the special values that characterize these enterprises and help bring them to the next level of growth – typically towards a generation change, a commercial partnership or cooperation with a major equity fund.
It can also supplement equity investments with secured loans.