HUF 60 Billion Programme for Foreign Investments Launched
- 6 Sep 2024 8:54 AM
The National Capital Holding (NTH), established to create a harmonised framework for state-backed capital financing of local companies, said on Thursday it is launching a HUF 60bn programme to promote Hungarian-owned companies making foreign direct investments, acquisitions and establishing companies abroad.
NTH is setting up the private equity fund for FDI abroad by allocating it USD 165m. The fund will be managed by Focus Ventures, owned by NTH. The fund contributes with equity financing to improving Hungary's profit balance and increasing the international competitiveness of Hungarian companies.
Bence Gerlaki, a deputy state secretary at the National Economy Ministry, said in order to further increase economic growth and competitiveness, it is essential that the widest possible range of Hungarian companies be able to invest their capital on an international level as well.
From a geographical point of view, the fund primarily plans to invest in Europe, with the focus on Western and Central-Eastern Europe, and in Asia, particularly in the Central Asian region. The fund is generalist with regard to targeted sectors.
Individual investments by the fund will range from USD 1m to USD 25m. Companies will have to provide at least 30pc of the funds for a transaction from their own resources. The fund will apply risk sharing and expect an industry minimum return from investments.
Source:
MTI - The Hungarian News Agency, founded in 1881.
*********************************
You're very welcome to comment, discuss and enjoy more stories via our Facebook page:
Facebook.com/XpatLoopNews + via XpatLoop’s groups: Budapest Expats / Expats Hungary
You can subscribe to our newsletter here: XpatLoop.com/Newsletters
Do you want your business to reach tens of thousands of potential high-value expat customers? Then just contact us here!
LATEST NEWS IN business