Ireland launches €90m startup fund

THE Irish Government has launched the Irish Innovation Seed Fund (IISF), which will invest potentially €90m (US$102.1m) to support Irish startups.

Providing vital funding to seed-stage companies, the IISF is expected to help develop and grow the Irish equity ecosystem.

It will focus on supporting sectors that have had difficulty attracting early-stage investment, including climate change and sustainability, digitalisation and technology, finance technology, food and agritech, healthcare and pharma, life sciences, and women-led enterprises.

Funding through the programme is expected to help attract both new fund managers and new private investors to input further private equity investment into the country.

IISF will be led by Enterprise Ireland, a Government organisation responsible for development and growth of Irish enterprises in world markets. The European Investment Fund (EIF) will act as the fund manager. EIF specialises in providing risk finance to benefit small- and medium-sized enterprises (SMEs) across Europe.

The Government’s Department of Enterprise, Trade, and Employment and EIF will each provide €30m to the fund. Ireland Strategic Invest Fund (ISIF), a sovereign investment fund, will potentially provide a further €30m on selected investments.

Kieran Bristow, Deputy Director of ISIF, said: “Ireland’s knowledge economy is producing a vibrant new generation of startups with great business ideas but who need the right type of capital to grow and achieve global success. This new investment programme will match top-tier managers of seed capital with high-potential seed-stage companies and founders who have the ideas, ambition and know-how to become world beaters.”

EIF is currently accepting applications. The deadline is 29 April 2022.