Talde has reached an agreement with the European Investment Fund (EIF) under which certain financing operations carried out by its Debt Fund “Talde Deuda Alternativa FILPE” will have an additional guarantee granted by the EIF itself.
Talde, through its Debt Fund “Talde Deuda Alternativa, FILPE” grants financing to Small and Medium-sized Enterprises (SMEs) in Spain. This agreement, which is for operations for a total amount of up to EUR 40 million, is supported by the European Guarantee Fund (EGF), which is part of the package of measures agreed by the Eurogroup on 9th April 2020, and subsequently developed by the European Council on 23rd April 2020 to respond to the economic impact caused by the pandemic.
Thanks to the support of the EIF under the EGF, Talde, with its debt vehicle, will provide financing on favorable terms, and the EIF will guarantee a percentage of the principal and ordinary interest on the new loans granted by Talde to such SMEs in the framework of their ordinary activity and provided that they meet the eligibility requirements.
The main objective of the EGF is to provide guarantees on debt instruments and equity instruments. It also aims to address in a coordinated manner the financing needs of European companies (especially SMEs), which are considered viable in the long term, but which are facing difficulties in the context of the current crisis that the whole of Europe is going through, as a result of the pandemic generated by COVID-19.
The Debt Fund “Talde Deuda Alternativa, FILPE”, which is managed by the management company Talde Gestión S.G.E.I.C, S.A. and with a target amount of EUR 100 million, is dedicated to long-term financing of mainly SMEs business projects that involve the development of new activities, products or markets, as well as the expansion or consolidation of existing ones or the creation of stable jobs. In particular, support will be given to companies that require long-term financing (mainly through senior debt with guarantees, a term of 5 to 8 years and amounts of between EUR 3 and 15 million) to materialize opportunities for the acquisition of other companies that allow a sectoral consolidation or those companies that have investment plans that favor both national and international development of their activity.