The European Bank for Reconstruction and Development (EBRD) is committing up to €25 million to the V4C Poland Plus Fund II, a new fund raised by V4C. This fund aims to invest in 8-12 lower-middle-market companies, primarily in Poland and other countries in Central and Eastern Europe (CEE).

Investment Focus

Following V4C’s successful track record, the new fund will focus on service-oriented sectors such as software, healthcare, and business services digitalization. It aims to support local founders with proven track records and create value by developing segment leaders, often through market consolidation. As part of its investment strategy, V4C is committed to sustainable finance, designating the fund as an Article 8 financial product under the EU’s Sustainable Finance Disclosure Regulation. This includes allocating a portion of investments to companies positively impacting the environment and climate.

EBRD's Role in Regional Growth

By supporting V4C, the EBRD is bolstering the private equity ecosystem in Poland and the broader CEE region, crucial for enhancing the competitiveness and innovation of regional enterprises. Anne Fossemalle, EBRD Director for Funds Investments, expressed excitement about supporting lower-middle-market companies in the region through their partnership with V4C, highlighting V4C's robust environmental, social, and governance (ESG) processes.

V4C's Proven Expertise

Bill Watson, Managing Partner of V4C, emphasized the importance of the EBRD's support in attracting new investors and maintaining investment capacity to match the growth in Polish, Romanian, and other CEE markets. V4C has a strong track record, having supported 13 companies in enhancing their governance, financial management, and operations, including Shoper, a Polish e-commerce software provider listed on the Warsaw Stock Exchange in July 2021.

Long-standing Partnership

This is the EBRD’s third commitment to a V4C-managed fund. Previous investments include the V4C Eastern Europe Fund in 2005 and the V4C Poland Plus Fund in 2017.

The EBRD’s commitment underscores its dedication to fostering economic growth and improving quality of life in its regions through strategic investments and partnerships.