The ICF Group finances 8% more companies during the first half of 2019

The ICF Group continues to foster financing of the business sector and during the first half of 2019 it has financed 812 companies and entities, totalling an amount of €286 M, of which €212.3 M has been formalized through the ICF and €73.5 M through Avalis de Catalunya.These figures represent a growth in the number of companies (+8%) as well as total invested volume (+34%) compared to the same period of 2018.

A total of 85% of the financed projects correspond to SMEs and another 11.1% freelancers, two of the Catalan economy's key segments. The ICF Group's activity has enabled a total of 27,663 jobs to be created or maintained.

The CEO of the ICF, Josep-Ramón Sanromà, highlighted that, in line with the Sustainable Development Goals set out by the United Nations in the 2030 Agenda and the Catalan economy's strategic objectives, "the ICF has continued to focus its activity on financing the growth, innovation and internationalisation of SMEs; boosting start-ups and social projects".

Along these lines, the entity, through the ICF Ecoverda loan facilities, funds sustainable energy efficiency, green and circular economy projects. Furthermore, and in collaboration with the Catalonia Housing Agency, it provides entities, councils and developers with two facilities intended for the purchase and construction of social housing.

In the field of innovation, the internationalisation and growth of SMEs, the ICF Eurocrèdit facility, co-funded with ERDF funds, is noteworthy. From January to June 2019, 80 projects have been funded using €37 M through this facility, which will contribute to the opening of new markets, the development of new products and/or strengthening of company activities, among other aspects.

According to the latest results of the ICF balance and in line with the Catalan GDP, Barcelona and its area of influence host 73% of the formalised operations, followed by Girona (9%), Central Catalonia (7%), Tarragona-Terres de l'Ebre (5%), and Lleida-Pirineu (4%).

Venture capital business

In the area of venture capital, the ICF continues to invest in venture capital funds and innovative companies, in different stages of their running: from companies their initial stages of creation to early stages of expansion and companies undergoing growth. Sanromà highlighted that the ICF acts "as a driving and dynamizing force and an incentive for investment, mobilising new projects in the fields of innovation, digitisation, health and biotechnology through various instruments".

Thus, during the first six months of this year, the ICF has committed €113.8 M in venture capital funds to invest in newly created Catalan companies and/or SMEs undergoing growth. Of this total amount, €70 M is set aside for the two new venture capital funds managed by ICF Capital, which were launched by the ICF in June. Specifically, ICF Capital Expansió II was set up with €50 M and ICF Venture Tech II with €20 M. Furthermore, the ICF has co-invested in 8 start-ups with other private investors through the IFEM Innovació facility, amounting to €1.3 M.

Indicators and results

The ICF closed the first six months of 2019 with net income of 4.7 million euros. In terms of the other indicators, the entity has improved the percentage of the main indicators, recording a 41.3% solvency ratio and a 148.5% coverage ratio, while the default ratio stands at 7.3%.

About ICF

The ICF is the public financial entity of Catalonia, whose main mission is to promote financing for the business community in Catalonia in order to contribute to growth, innovation and the sustainability of the Catalan economy. The ICF acts as a complement to the private sector by offering a wide range of financing solutions focusing on loans, guarantees and venture capital. Since 2014, it has been a member of the European Associations Public Banks (EAPB), which groups a large proportion of the banks and public financial entities operating in Europe.