EU launches risk-capital fund for Mediterranean

Three French financial groups and the European Investment Bank (EIB) launched on Thursday a joint fund dedicated to investments in risk-capital in Mediterranean countries.

The new fund "Averoes Finance" will acquire purchases in existing or new capital investment structures in the Arab south Mediterranean countries.

Endowed with an initial capital of 26.5 million Euro, the new fund will build on the experience of its founding institutions in the region, with the first operations to be carried out in Morocco and Tunisia.

The EIB will bring 3.5 million Euro to the fund capital while two French partners CDC PME and PROPARCO (an affiliate of the French Development Agency) will pour 9 million Euro each and the third French partner, CEPAC (an affiliate of the Caisse D'?pargne group) will contribute with 5 million Euro.

The capital will remain open to other share holders to gradually reach 30 million Euro.