Co-investment Fund of 5 million euros for starts-up in the sector of transport and communications

Date

2019 05 07

Rating
0
5585_b67412078fb7b71749f1cb3dbd037a94.jpg

The sector of transport and communications opens new opportunities for the starts-up of the sector of transport and communications – small and medium-sized enterprises. The fund of 5 million euros was established that has an objective to induce the enterprises to create mobility services and products, intellectual transport systems and innovative transport technologies that reduce CO2 emission generated by transport. It is planned that the fund could be increased up to 10 million euros upon receipt of the first results.

“Innovations are engine of progress in the sector of transport and communications. The venture capital funds are inseparable part of ecosystem of innovations. As new ideas and technologies are very risky, the State is going to assume part of the risk through the new co-investment fund and thus encourage private investors to invest into innovations in transport sector. The newly created financial tool will form finally the ecosystem of innovations in the sector of transport and communications,” – said Mr. Rokas Masiulis, Minister of Transport and Communications.

“The State continues applying innovative financing forms – financial tools – by using the EU funds to finance the projects. A new financial tool that will serve for investments of venture capital will grant a possibility to manage financial resources more effectively, to safeguard attraction of additional funds, and to use repeatedly the EU funds,” – said Mr. Vilius Šapoka, Minister of Finance.

The Co-investment Fund for transport and communications was established by the Ministry of Transport and Communications, Ministry of Finance, and UAB “Investicijų ir verslo garantijos” (Guarantees of Investments and Business Ltd) (INVEGA) using the EU Cohesion Fund’s money. The new financial tool will be implemented by INVEGA, so the interested persons may refer to INVEGA or the commandite company “Co-investment Fund” that it controls.

“We are glad that innovative financial tools are used more and more widely, as they are the ones that help to achieve higher economic effectiveness. I believe that this new tool will help to make positive changes, to create and develop responsible business that cares anout environment and its preservation,” – said Mr. Kęstutis Motiejūnas, CEO of INVEGA.

The companies “Lithuanian Railways”, “Lithuanian Post” and “Road Maintenance” supervised by the Ministry of Transport and Communications established the Transport Innovations Centre on the initiative of the Ministry in the beginning of this year. Other companies in the sector of transport and communications are going to join the centre in the future. This centre is going to encourage innovations in the sector of transport and communications and will be responsible for attraction of progressive foreign capital companies to our country. The establishment of the co-investment fund for transport and communications will complete creation of ecosystem of innovations in the sector of transport and communications. The fund will safeguard financing of competitive and commercially grounded ideas.

Experts from the companies in the sector of transport and communications are going to participate in the activities of the Transport Innovations Centre. They will search for possibilities to solve problematic issues, will share innovative decisions, will create Sandbox platform meant to test and develop technologies, will induce sector’s synergy and prepare investment projects. The Transport Innovations Centre will provide methodical help to the newly established companies and will ensure trying of innovative products and services in the infrastructure of transport sector according to the standardized procedure. The conditions will be granted to other innovative companies, besides the ones subordinate to the Ministry of Transport and Communications, to create new technologies.

The Ministry of Transport and Communications and the Lithuanian Transport Safety Administration will make sure that progressive and future-oriented regulation and market’s supervision would be operating in the sector.