The International Finance Corporation (IFC) from the World Bank Group could invest up to $20 million into the Emerging Europe Growth Fund III, L.P. (EEGF III, Delaware, the United States) launched by Horizon Capital Advisors, LLC mainly for investment in Ukraine.
The IFC said that the board will discuss the project at a meeting on April 28.
According to the document, an equity investment by IFC would not to exceed 20% of total commitments to the fund.
EEGF III will focus on small and mid-cap companies with growth capital needs.
The co-investor in the fund could be the European Bank for Reconstruction and Development (EBRD).
IFC is an investor in Horizon’s predecessor fund (EEGF II), and IFC’s repeat participation in EEGF III will a strong vote of confidence in Horizon’s ability to implement the growth PE strategy in the target region
In addition, given IFC is an investor in Horizon’s predecessor fund (EEGF II), Fund Manager is keen to secure IFC’s repeat participation in EEGF III, as it will be considered a strong vote of confidence in Horizon’s ability to implement the growth private equity strategy in the target region.
As reported, in June 2016, OPIC (Overseas Private Investment Corporation) said that the OPIC would provide up to $37.5 million to EEGF III launched by Horizon Capital for the period of up to 10 years.
The fund with a target size of $150 million will invest in export-oriented, fast-growing, mid-size companies in Ukraine and Moldova with the potential to grow from local to regional market leaders. The fund will primarily target minority stakes in high growth Ukrainian companies. It may also invest in early-stage, buyout and privatization opportunities as they arise.
Horizon Capital was established in 2006. It manages private equity funds Western NIS Enterprise Fund (WNISEF, established in 1994 with a capital of $150 million), Emerging Europe Growth Fund, L.P. (EEGF, established in 2006 with a capital of $132 million) and EEGF II (EEGF, established in 2008 with $370 million capital).
The money of these funds is invested in projects in Ukraine, Moldova, and Belarus.
The founding partners of Horizon Capital are Jeffrey C. Neal, Mark Andrew Iwashko, Natalie Jaresko and CEO Lenna Koszarny.