EIF signs first EFSI Italian SME deal

The European Investment Fund (EIF) and an Italian banking group have signed a guarantee agreement to increase lending to innovative SMEs and small mid-caps.

The deal with the BPER Group (BPER Banca, Banco di Sardegna and Banca di Sassari) is the first transaction in Italy to benefit from the support of the European Fund for Strategic Investments (EFSI). The new agreement, signed in Italy, will allow the BPER Group to provide €100m of loans to innovative companies in Italy over the next two years. The loans will be enabled by an EIF guarantee under the EU InnovFin finance for Innovators initiative with financial backing from the European Commission’s Horizon 2020 programme.

Commenting on the agreement, Dario Scannapieco, European Investment Bank (EIB) vice-president and EIF chairman, declared: “The agreement today between EIF and BPER demonstrates how, with EFSI support, the EIB Group can help innovative companies to grow and create jobs in Italy.

“These types of transactions help the EIB Group to continue to play a strong role in supporting innovative firms and start-ups both in Italy and across Europe. We are pleased to sign an agreement with BPER whose roots are deeply embedded in the local economy, and that over the years have grown with a strong international vocation.”

Adding his thoughts, Alessandro Vandelli, BPER Bank chief executive, said: “In this period of radical change, SMEs are heavily involved in business development, which requires investment in research and innovation of both processes and products, but it is often hard to identify the most appropriate ways to sustain growth and maintain it over time. I believe that, in this case, we have managed to identify the right tool for the job, with a wide range of potential applications.”

The Italian deal is one of the first agreements approved by EIF that will benefit from an EU guarantee through the EFSI.