The Thüringer Gründerfonds and HTGF can jointly invest up to €600,000 in a seed financing round. Additional investments, in combination with private investors, can total up to €2.4Mio. The attractive financing model employs a combination of equity capital and subordinated debt. Founders are expected to invest at least €50,000 in conjunction with the financing. In addition to the needed seed capital, bm|t and HTGF provide valuable consulting and support to the management teams. For example, the founders can draw on a regional network of coaches who can support the companies when and where assistance is needed.
“The coöperation between bm|t and HTGF will allow founders in the high-tech field to start their businesses with substantial capital from the very beginning. We are confident that our coöperation will greatly benefit start-up activities in Thuringia,” said Dr. Michael Brandkamp, CEO of HTGF.
About bm|t and Thüringer Gründerfonds
bm|t is the venture capital and private equity investment company for the Free State of Thuringia. bm|t manages funds that invest capital from institutional investors and government sources in young and established companies with high growth potential in Thuringia. bm|t´s Thüringer Gründerfonds invests exclusively in young innovative companies (start-ups) in the first three years of their existence that are developing new or significantly improved products and services. The Thüringer Gründerfonds currently has a fund volume of €7.7Mio.
The High-Tech Gründerfonds invests risk capital in young, high-potential technology companies that turn promising research results into businesses. With the help of a seed financing, Start-ups can progress their R&D efforts to the point of a prototype, “proof of concept,” or market entry. The fund initially invests €500,000 and can invest up to €2Mio per company. Investors in the public-private partnership include the Federal Ministry of Economy and Technology, KfW bank, as well as 17 corporations: ALTANA, BASF, B. Braun, Robert Bosch, CEWE, Daimler, Deutsche Post DHL, Deutsche Telekom, Evonik, Lanxess, media + more venture Beteiligungs GmbH & Co KG, METRO, Qiagen, RWE Innogy, SAP, Tengelmann, and Carl Zeiss. The High-Tech Gründerfonds has a total fund volume of €573.5Mio (€272Mio Fund I and €301.5Mio Fund II).