Reorganisation of current direct invetments

March 03, 2017

Estonian Development Fund (EDF) and SmartCap are restructuring their current direct investments portfolio into a venture capital fund of funds investment model. The intention is to hand over the investment portfolio of EDF, Early Fund II and capital available for follow-on investments to a fund managed by a private fund manager.

SmartCap, EDF and European Investment Bank launched a call to find a private fund manager in August 2016. An independent selection committee appointed on the proposal of the European Investment Bank has decided that Tera Ventures is the winner of the call.

SmartCap has started the negotiations with representatives of Tera Ventures on the technical details of the reorganisation. As a result of these talks, management of the investment portfolio should be transferred to the private management company within the first quarter of 2017.

EDF and SmartCap would like to ensure that a competent and experienced private fund manager would administer the outstanding investment portfolio along with its capital for follow-on investments in a sustainable manner and according to the market standards meanwhile maximizing the return for investors.