Lithuania-based asset management firm INVL Asset Management closed a private equity investment fund for the Baltic region, at €165m.
INVL Baltic Sea Growth Fund brings together a diversified panel of investors, including public investors (the EIF being the anchor investor), Baltic region institutional investors (Estonia’s LHV pension funds, INVL pension funds), private and corporate investors.
The EIF, which is a part of the European Investment Bank, committed €30mn with the support of the European Fund for Strategic Investments, a key element of the Investment Plan for Europe, as well as allocating resources from the Baltic Innovation Fund, the “fund of funds” initiative developed in cooperation with the governments of Lithuania, Latvia and Estonia respectively, which aims to increase capital investment in high growth potential small and medium-sized enterprises in the Baltic States.
Led by Darius Šulnis, Managing Partner, and Deimantė Korsakaitė, Executive Partner, the fund will seek to assemble a diversified portfolio of Baltic Sea based companies, targeting deals with a ticket size of €10m to €30m, that showcase high growth potential and the ability to compete on a global basis.
The fund, which will also offer co-investment opportunities in case of larger transactions, will focus on growth capital, buyout, and “buy and build” investments. The vehicle is focused on the Baltic States and the neighbouring regions of Poland, Scandinavia and Central Europe specifically. It is expected that the portfolio will comprise 8-12 investments in total.
Since the first close, the fund has invested in Montuotojas and Inmedica Chain, two companies within the healthcare and civil engineering sectors respectively.