EIB provides 50 million euros for Bavarian start-ups

Bayern Kapital receives support from Luxembourg. The European Investment Bank is increasing the fund volume of the state development bank.

The Luxembourg-based European Investment Bank (EIB) is investing EUR 50 million in the Bayern 2 growth fund, which was previously financed exclusively by the State Development Bank of Bavaria and Bayern Kapital. This increases the venture capital fund to a total of 165 million euros. "With the additional EUR 50 million from the EIB for the Bayern 2 growth fund, we are helping even more Bavarian start-ups with highly innovative business models to make targeted progress," said Bavaria's State Secretary for Economic Affairs Roland Weigert on the deal. "The EIB's involvement is also a clear commitment to Bavaria as a business location."

"With the support of the Investment Plan for Europe, the EIB primarily promotes investments that strengthen the competitiveness of the European economy. This is particularly important in these difficult economic times of the Covid-19 pandemic," says Ambroise Fayolle, Vice-President responsible for the EIB's activities in Germany. The fund is primarily intended to finance start-ups in the robotics, space, life sciences and fintech sectors. Most recently, the Bavarian Growth Fund 2 invested in Orora Technologies, which develops small satellites for the early detection of forest fires.

The first Bavarian fund was launched in 2015 and invested 71 million euros in 23 Bavarian start-ups. The successor was launched last year. In addition to state money, the fund also attracts private investors who also invest in the start-ups.