bm|t manages several funds that invest in both young and established high-growth companies in the State of Thuringia. The equity capital financing provided by bm|t is primarily designed to finance the development and commercialization of innovative products.

Forms of Investment

Investment Type
Amount
Duration
Conditions
Company
Equity financing
€100.000 – €10.000.000
Exit after 3–7 years
Industry standard valuations
(max. 49.9%)
High-growth companies
Silent partnership

(Mezzanine)

€100.000 – €5.000.000
Up to 10 years
Market standard interest rate
Established companies with stable cash-flows

Investment Criteria

Location

The company headquarters or at least substantial activities must be based in the State of Thuringia.

Industry Focus

bm|t generally invests in all high growth and high margin markets, especially in life sciences, optics, micro-electronics, and IT-Media-Internet, as well as in the German Mittelstand.

We do not invest in real estate, construction, small trade or agriculture businesses.

Legal Form

Incorporated German company (GmbH, AG)

Management

Visionary team with complementary competencies and superior industry know-how.

Exit Capability

  • High growth potential as a prerequisite for a subsequent sale of stake
  • Willingness of the founders to sell their shares or to accept new shareholders

Product

  • Technological advantage
  • Innovative product
  • Unique selling proposition and clear customer value
  • Strong IP-position (patent)
  • Short time to market and low development risk

Market

  • Large market with strong growth potential and calculable regulatory barriers
  • Existing first mover advantage and potential for market leadership position

Investment Process

  1. Generally, the entire investment process, from the first contact with bm|t to signing the investment contract, takes approximately 3–6 months.
  2. In order to assess whether a venture fits our investment criteria and investment focus, we need an investment summary or detailed business plan accompanying an investment inquiry.
    A detailed business plan handbook was published by ›Gründerpreis Thüringen‹ (in German only): see Businessplan-Handbuch.
  3. If the venture passes our first assessment, we will invite the management team to present their business model and strategy to bm|t. In the subsequent discussions, the general conditions of a potential financing round and bm|t investment are reviewed with the entrepreneurs.
  4. If the investment team decides a potential investment is worth pursuing further, we will provide a Term Sheet or Letter of Intent that outlines the terms of a potential bm|t investment.
  5. Once the Term Sheet is signed, the due diligence process begins. During this process we try to gain a deeper understanding of the company and research the legal, commercial, and technical aspects of the company.
  6. If the due diligence process has a positive outcome, we will then prepare and negotiate an Investment Agreement.
  7. Before signing the Investment Agreement, bm|t’s investment committee, which includes external experts, will make a final decision concerning the investment.
  8. After signing the investment agreement, the investment will be paid out according to negotiated milestones.

Funds Managed by bm|t

Thuringia Start-up-Fund (TSF)

TSF_bm-t_Fond_Signet_en
Launched on November 9, 2015
€18.75 million fund assets
Young, innovative companies (max. 5 years old)
5-10 year duration
Exit via IPO, trade sale, or MBO/MBI
Capital provided by the Free State of Thuringia, ThüB (Stiftung Thüringer Beteiligungskapital, translation: Thuringian Investment Capital Foundation), and EFRE (European Regional Development Fund)
Financing for the founding phase of a company
Minority equity stakes up to €1.2 million; preferably with a private co-investment

Thuringia Growth Fund (WBF)

WBF_bm-t_Fond_Signet_en
Launched on November 9, 2015
€37.5 million fund assets
Innovative growth companies (max. 8 years old)
5-10 year duration
Exit via IPO, trade sale, or MBO/MBI
Capital provided by the Free State of Thuringia and EFRE (European Regional Development Fund)
Financing of further development of products or services and expansion to new markets
Minority equity stakes up to €4.0 million; min. half of investment must be provided by a private co-investor

MFT Mittelstands Fund Thuringia (MFT)

MFT_bm-t_Fond_Signet_en
Launched on December 1, 2015
€40.0 million fund assets
Established and profitable small- and medium-sized companies (min. revenue €2.0 million)
5-10 year duration
Exit via IPO, trade sale, or MBO/MBI
Capital provided by the Free State of Thuringia and private institutional investors
Financing of company growth, expansion to new markets and company succession plans (MBO/MBI)
Equity stakes and silent partnerships up to €8.0 million

Thuringia Founder Fund (ThGF)

ThGF_bm-t_Fond_Signet_en
Launched on March 29, 2011
€10.0 million fund assets
Young, innovative companies
Capital provided by StUWT (Stiftung für Unternehmensbeteiligungen und -förderungen der gewerblichen Wirtschaft Thüringens, translation: Foundation for Business Investment and Commercial Development in Thuringia)
Financing for the founding phase of a company
Fully invested; no new investments

Thuringia Innovation Fund (TI)

TI_bm-t_Fond_Signet_en
Launched on April 26, 1994
€13.5 million fund assets
Young, innovative companies
Capital provided by the Free State of Thuringia
Financing of R&D and market entry phases
Fully invested, no new investments

Thuringia Industry Investments GmbH & Co. KG (TIB)

TIB_bm-t_Fond_Signet_en
Launched on December 14, 1993
€102.0 million fund assets
Industrial companies with above average growth potential; not limited to SMEs
3-7 year investment horizon
Exit via IPO, trade sale, or MBO/MBI
Capital provided by the Free State of Thuringia, ThüB (Stiftung Thüringer Beteiligungskapital, translation: Thuringian Investment Capital Foundation)
Growth financing and investments around management succession (MBO/MBI)
Buy-out of minority stakes for investments over €5.0 million; can act as sole investor or as the lead of a consortium of co-investors

Private Equity Thuringia GmbH & Co. KG (PET)

PET_bm-t_Fond_Signet_en
Launched on June 30, 2005
€70.85 million fund size
Industrial companies with above average growth potential, SMEs
Capital provided by the Free State of Thuringia as well as private and public institutional investors
Financing in the start-up and growth phases
Fully invested, no new investments

Private Equity Thuringia GmbH & Co. Zweite Beteiligungen KG (PET II)

PET_II_bm-t_Fond_Signet
Launched on May 26, 2010
€40.0 million fund size
Young technology-focused companies, SMEs
Capital provided by the Free State of Thuringia and private institutional investors
Financing in the start-up and growth phases, including in conjunction with management succession
Fully invested, no new investments

Know-how for founders

A detailed business plan handbook was published by ›Gründerpreis Thüringen‹ (in German only).
PDF-Datei, 1,3 MB

Other financing partners in Thuringia

Specifically for silent partnerships up to €1.0 million
www.mbg-thueringen.de

Co-Investor: High-Tech Gründerfonds
www.htgf.de

For Business Angel Investments:
www.thueban.de

Stiftung für Technologie, Innovation und Forschung Thüringen (STIFT)
www.stift-thueringen.de

For loan programs of the Free State of Thuringia
www.aufbaubank.de