Preferably with annual revenues exceeding €100 million and a minimum workforce of at least 50 employees.
What is the Lidera Large Enterprises Fund?
The Lidera Large Enterprises Fund (formerly the Arrels Fund) is an initiative promoted by the Government of the Generalitat de Catalunya and managed through the Institut Català de Finances (ICF), with the aim of preserving and strengthening the local roots of Catalan companies and their decision-making centers within the territory, while providing them with the capital required to undertake significant growth processes.
ICF contributes €50 million and the Department of Economy and Finance provides an additional €50 million, bringing the total fund size to €100 million.
This fund expands ICF’s range of financial instruments for direct investment.
What is its objective?
In a global economic context where the risk of relocation of strategic companies is increasingly significant, this fund seeks to ensure that companies playing a leading role in Catalonia’s productive fabric maintain their commitment to the country’s industrial development.
Inspired by proven similar models in other territories, the Arrels Fund is designed to invest long term in companies considered strategic. These companies must have their registered and tax domicile or permanent establishment in Catalonia and make a significant contribution to the regional economy through their activity and their links with local suppliers and businesses. The objective is to guarantee the continuity and growth of these companies without losing their decision-making center in Catalonia.
This support strengthens the commitment to Catalonia’s economic and social development, ensuring that its business ecosystem remains a driver of growth and innovation within and beyond its activity cluster.
Management and investment criteria
ICF, leveraging its experience in equity investments, is responsible for managing the fund’s investments. These will be carried out through minority equity stakes, without seeking control, in order to collaborate in the companies’ strategy and consolidation within the territory. Investments will be minority stakes, indicatively between a minimum of 3%–5% and a maximum of 20%. Under no circumstances may the stake exceed 49%.
Which companies will be targeted?
Investments will be made in financially sound companies incorporated under the Spanish Companies Act and that potentially meet the following characteristics:
They must have a value proposition, impact, and strong local roots supported by a strategic or investment plan. Their activity should play a leading role in Catalonia’s industrial fabric, for example by generating business opportunities in Catalonia through a broad customer base and relationships with local suppliers.
They should also demonstrate the capacity to invest in R&D, technological development, the creation of new projects, and collaboration with companies and research centers within the region.
On a non-exclusive basis, priority will be given to investments that:
Are aligned with the implementation of the Pla Nacional de la Indústria 2022-2025.
Strengthen Catalan and European strategic autonomy.
Facilitate the adoption of more strategic industrial decisions from Catalonia.
They must have a professional and capable management team.
Documents of interest
Economic and Social Impact Report of the Lidera Large Enterprises Fund (formerly Arrels Fund)
PDF
