Genoma España

Lines of credit to second-round investment capital and transfer of projects from Genoma España’s Technology Portfolio 2011

 

Funding technology transfer from Genoma España’s Technology Portfolio.

 

Objective

Funding spin-off technology transfer from Genoma España’s Technology Portfolio and facilitating the acquisition of shares in new technology-based companies (NEBT) which started from projects financed by Genoma España.

 

Action Strategies

The Funding Programme for second-round Technology Transfer of Genoma España’s Technology Portfolio aims to bring more industrial, technological and / or financial partners to the new technology-based companies Genoma España has supported economically and helped to create (the projects and new technology-based companies eligible for a grant have been part of Genoma España’s Technology Portfolio Programme) This programme promotes high quality patent application inside the scientific community related to Spanish biotechnology helping, from a strategic and financial standpoint, to strengthen patents on biotechnological inventions made by public research groups. It also funds the technological development of the best inventions as well as the subsequent creation of spin-offs to exploit them.


Following this line, the joint financing announced by Genoma España means providing loans up to €450,000  (maximum € 150,000  a year over 3 years) to new technology-based companies which have granted Genoma España a call option.  The repayment period is of 10 years including a 3-year grace period.


This funding is provided by means of participation loans without any type of collateral, at a 4.76 interest rate on the total amount borrowed. The principal sum will be repaid over 10 years with a 3-year grace period.

 

Features

  • Maximum loan amount: € 450,000
  • Maximum allowed credit: 50 per cent of total investment.
  • Total investment must exceed € 500,000 (preferably 1- 3 million euros)

 

Total budget earmarked for this credit line:

 

2,000,000

 

Credit to second-round investment in biotech companies

 

Objective

To finance second round investment jointly with seed investors and venture capital firms (authorised by the CNMV, the National Share Market Comission) in biotechnology-based companies.

 

Action Strategies

As regards (bio)technology-based companies with participation by seed investors and venture capital, it is quite usual they get through second (and subsequent) rounds of investment to finance their business activity until reaching their break-even point. This new programme is aimed at joint financing by means of a loan (not equity) to biotech companies in a consolidation phase that announce a second round of financing, provided that the venture capital firm that already had shares in the company subscribe to the new round as well. Thus the credit serves as an incentive and accompaniment with venture capital, on mobilizing private investment in high-tech companies.


Following this line, the joint financing announced by Genoma España means providing loans up to 450,000 € (maximum of 150,000 € a year over 3 years) to the companies venture capital has reinvested in. Funding will take the form of participation loans without any type of collateral, at a 4.76 interest rate on the total amount borrowed, after making profits, and only if they are great enough to do so. The principal sum will be repaid over 10 years with a 3-year grace period.

 

Features

  • Maximum loan amount: € 450,000
  • Maximum allowed credit: 50 per cent of total investment.
  • Total investment must exceed € 500,000 (preferably 1- 3 million euros)

 

Total budget earmarked for this credit line:

2,000,000

 

 

Documents (in Spanish)