SIH plans support of 15 million euros for seed-stage companies

Bratislava, June 27, 2024 - Slovak Investment Holding (SIH) plans support of 15 million euros for seed-stage companies. Funds come from the Recovery and Resilience Plan. 

Support will be addressed to companies in the seed stage, i.e. entities without a sufficient credit history, who develop an innovative product or an innovative service and who, due to the high risk of their activities, do not have sufficient access to financial and capital markets and, in most cases, the possibility of credit financing from commercial banks is absent. The goal of the financial instrument is to stimulate the development of innovative business entities and provide startups with the initial capital needed to start a business.

SIH plans to use resources from the Recovery and Resilience Plan (Component 9, Investment 6) focused on capital input in the early phase of the life cycle of enterprises for capital and quasi-capital investments (shares, equity participations and quasi-capital, such as convertible or subordinated loans) in innovative small and medium-sized enterprises that have their headquarters or activities financed from a financial instrument in the territory of the Slovak Republic, including the Bratislava region. The support will primarily focus on enterprises implementing research and development and innovation activities to provide innovative products or services.

Based on previous experience with the implementation of financial instruments, we assume that investments in target companies will lead to an increase in leverage and a higher mobilization of private resources.