Bio & Tech Smart Capital, a private equity fund promoted by the Zendal Group, Galician entrepreneur and CEO of MESTRELAB Santiago Domínguez, and Noso Capital SGEIC, increases its investment capacity to nearly 90% after receiving homologation from the CDTI (Center for Industrial Technological Development), under the Ministry of Science and Innovation, to make co-investments in Spanish technological and innovative companies, mainly small and medium-sized enterprises with high potential for economic growth.

The homologation agreement is part of the Innvierte Program, promoted by CDTI, to promote innovation by supporting investments in technology-based and innovative companies. The investments facilitate long-term stable private capital participation and will be made according to “profitability criteria and in a co-investment regime.”

The public company Innvierte Economía Sostenible commits to contributing between 50% and 90% of the investments proposed by Bio & Tech Smart Capital, with an initial minimum of €500,000 per investment round, which can be reduced to €250,000 if the technology used or developed by the participating company is of special value, interest, excellence, or its potential application is considered exceptionally innovative or disruptive.

The homologation conditions establish that the maximum investment amounts to €10 million per investment round, and the maximum amount that Innvierte can contribute is up to €38 million, according to the planned “hard cap” of the fund. The co-investment will be carried out following the “alignment of interests” in the selection of potential participating companies, and public participation cannot exceed 30% of the capital.

Doubling the Investment Capacity

The CEO of Noso Capital, Tomas Pérez, and Santiago Domínguez explained that the homologation for co-investment with CDTI is a “very important step” in the trajectory of the Bio & Tech Smart Capital fund, as it represents “almost doubling the investment capacity.”

The Bio & Tech Smart Capital fund was created a year ago to promote the sustainable growth of the biotechnology and new technologies ecosystem in Galicia. “In its first six months, we managed to attract more than €5 million in private capital. Now, we are able to double the investment capacity in a sector with high ROI, as well as supporting highly innovative companies that face the major challenges of today’s society,” they added.

Bio & Tech Smart Capital is analyzing business projects in which investments will be made in the coming months, aiming to support both the Galician and Spanish biotechnology and technology ecosystem.