Bulgaria’s dynamic start-up scene attracts more investments! DGKV advised Fund Manager of Financial Instruments in Bulgaria EAD1  (“Fund of Funds”) on the structuring and launching of a EUR 100 mln public procurement procedure to select financial intermediaries for equity and quasi-equity investments in Bulgarian seed and start-up companies. This is the first instrument under Operational Programme Innovations and Competitiveness 2014-2020 and the Seed/Acceleration and Start-Up Fund and aims to relocate financial resources through funds (2 (Pre)Seed and Start-up Funds and Seed and Start-up Fund) to support and enhance the entrepreneurial ecosystem in Bulgaria. The purpose of the public procurement procedure is to select fund managers for the three funds which shall be required to complement the funding resources available. It is expected that the investments shall reach the target companies by the middle of next year. The investment period shall be five years, with a total time horizon of 10 years for the three funds, with an option to extend their life for another two one-year periods.
DGKV was chosen to assist the Fund of Funds through a vigorous selection procedure that took place in early 2017. Our work on the project included preparation of an operational agreement (public procurement contracts) for implementation of the above financial instruments and preparation of legal opinion on the drafts of public procurement documents prepared by the Fund of Funds for conducting of a procedure for the selection of financial intermediaries for the implementation of financial instruments financed by Operational Programme Innovations and Competitiveness 2014-2020. DGKV shall further assist the Fund of Funds on the selection of financial intermediaries for implementation of financial instruments financed by the Operational Programmes Innovation and Competitiveness, Regions in Growth and Environment 2014-2020. 
The team has already accrued significant experience after being instructed by the European Investment Bank to handle the negotiations over the operational agreement with the financial intermediaries initiative as well as on the structuring of relationship between the management authorities of Republic of Bulgaria and the newly set up Funds of Funds entrusted with the management of all EU financial instruments resources to be made available to Republic Bulgaria during the 2014-2020 programming period. 
DGKV’s team on this project is led by the Partner Georgi Tzvetkov and includes Senior Associates Gergana Monovska and Anton Krustev and Associates Lora Aleksandrova and Tsvetelina Bayraktarova.  
1 The Fund Manager of Financial Instruments in Bulgaria EAD was established by Bulgaria’s Council of Ministers as a special-purpose vehicle fully owned by the State to manage the financial instruments designed to support the implementation of programmes co-financed from the European Structural and Investment Funds. Its aim is to provide opportunities for improved access to financial resources in support of growth promotion and employment.