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Investment & Fund Management

The European Investment

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The European Investment Fund (EIF) has made a significant investment of €20 million in Arcano Private Debt II, a fund aimed at supporting sustainability-oriented small and medium-sized enterprises (SMEs) and mid-caps in Spain. This investment marks the EIF's first under the Regional Resilience Fund, which was established by the Spanish Ministry of Economy, Trade and Enterprise to allocate NextGenerationEU loans towards environmental and social projects across Spain's autonomous communities.

Arcano Private Debt II, managed by Arcano Partners, has a target size of €150 million to €200 million and focuses on providing senior debt to sustainability-oriented businesses. The fund aims to make at least 20 investments, with an average ticket size ranging from €5 million to €15 million per investment, prioritizing companies that promote sustainability and have a positive social impact. The EIF's investment is part of a broader strategy to enhance financing options for SMEs in areas such as innovation, sustainability, and competitiveness, facilitated through its Alternative Lending Instrument for Sustainable Development.

The Regional Resilience Fund is designed to channel financing from Spain’s Recovery, Transformation and Resilience Plan, targeting key areas such as social housing, urban renewal, and the energy transition. The EIF's Chief Investment Officer, Marco Marrone, expressed enthusiasm about collaborating with Arcano Partners to ease financing for sustainability-focused SMEs, indicating that this investment is just the beginning of a series of initiatives aimed at expanding support for innovation and sustainability in the region.