The Fund is focused on growth investment opportunities on three preferred areas: IT, vegetables and forest.
The first fund managed by GP capital is Growth One. With a target size of €50 million, Growth One completed its first closing in Q2 in 2018 and completed its first investments in the beginning of 2019.
The Fund is focused on growth investment opportunities on three preferred areas: IT, forest and vegetables.
The fund is looking for innovative companies that need capital to support their expansion plans, especially internationalization strategies. Portugal has a large base of installed innovative companies supplying mainly European markets, that, with the right guidance, funding and support may reach other international markets and become large competitive companies.
The team has already invested in different companies.
Why Invest in Growth One
Investing in Venture and Growth Capital Funds is one of the most tax efficient investment alternatives in Portugal. Non-residents will pay 0% of income tax over dividends earned in an Investment Fund. Portuguese investors will pay a fixed rate of 10% over dividends earned.
Competitive Return Rate
Growth Capital Funds have a very competitive return rate when compared with other investment alternatives. Additionally, GP Capital will distribute an extraordinary dividend of 5.0% of the earnings above the hurdle rate to its private investors.
Public Funding Leverage
Growth One is co-funded by IFD, a Portuguese Public Finance Institution, which allows the Fund to increase in 100% the amount raised with private investors. This will allow the Fund to expand its investment capacity and as a consequence multiply its earnings possibilities.
Growth One will invest in high potential sectors in which Portugal has competitive advantages and a large base of promising companies. There are not many funds targeting these transactional/industrial companies we want to target.
Being based in Portugal is also an advantage that Growth One will capitalize on. Being a European country with competitive factors of production, a link with all Portuguese speaking countries in Africa and South America and lower valuations when compared with companies based in other developed countries, gives Portugal unique arguments for investors.
New Silicon Valey
Portugal is becoming a magnet to entrepreneurs who wish to establish their companies in a country that offers world class services and infrastructures at very competitive costs and that benefits from a large base of talent in our Universities.