Investment & Fund Management

The Scottish-European Growth Co-Investment Programme is a GBP 100 million equity co-investment scheme aimed at supporting Scottish SMEs and attracting international private equity investment to Scotland. Launched in June 2017, this initiative is a collaboration between the European Investment Fund (EIF) and Scottish Enterprise, each contributing GBP 50 million. The programme specifically addresses the "second equity gap" that companies encounter as they transition from the start-up phase to growth, while also being open to start-up companies.

The tailored solution provided through this programme involves co-investment funding alongside equity investment funds and private investors on market terms. This approach is designed to catalyze at least an additional GBP 100 million of growth capital for targeted companies. The co-investment capital is managed through a vehicle set up by the fund manager, who invests in the target company alongside the main investment fund. The investment size is flexible, assessed on a case-by-case basis, ensuring that it meets the specific needs of the companies involved.

As a result of this initiative, the programme not only supports the growth and expansion of SMEs in Scotland but also aims to enhance their export potential and overall economic contribution. By focusing on companies with strong growth trajectories, the Scottish-European Growth Co-Investment Programme plays a crucial role in fostering a robust business environment in Scotland, ultimately leading to increased turnover, profit, and employment opportunities within the region.