BPM has reached the first close of its second investment fund, BPM Mezzanine Fund II with the first close commitments close to €60m. The target size of BPM Mezzanine Fund II is €70m.
BPM is an independent investment manager operating out of two offices, in Tallinn and Warsaw. It has been founded and is managed by a team of four partners with more than two decades of experience in mezzanine and equity investing in the Baltic countries and Poland.
BPM will invest in mezzanine transactions in Estonia, Latvia, Lithuania and Poland. The investment focus will be on high-growth small and medium-sized enterprises (SMEs) and lower midcap companies, as they are the main driver of the economic expansion, market share gains and earnings growth in the region and constitute the most attractive investment space. The Fund has no sectoral focus and can consider a wide range of situations such as buyouts, expansion financings and recapitalizations. BPM backs proven business models and experienced management teams aiming to take a company to the next level of development and wanting to retain a controlling stake. The Fund will invest between €3 and €10.5 million per transaction. BPM targets mainly sponsorless expansion and acquisition projects facilitating growth in the Baltic countries and Poland.
BPM Mezzanine Fund II is supported by a prominent investor base, which includes the European Investment Fund (partly through the Baltic Innovation Fund 2, an initiative created by cooperation between the Republic of Estonia, the Republic of Latvia, the Republic of Lithuania and EIF, and partly through the support of the European Union under the Equity Facility for Growth established under Regulation (EU) No 1287/2013 of the European Parliament and the Council establishing a Programme for the Competitiveness of Enterprises and small and medium enterprises (COSME), the European Bank for Reconstruction and Development (EBRD), Swedbank Investment Funds and family offices. Deca Legal acted as legal advisor to the Fund.
Kalmer Kikas, Managing Partner of BPM said: “We are delighted to receive the backing of our limited partners allowing BPM to reach the first closing in this turbulent environment. Our ability to reach the first close shows the attractiveness of our investment model and the growth prospects of the Baltic countries and Poland. We aim to provide the SME companies with flexible and tailor-made mezzanine and equity financing solutions.”
Further enquiries:
BPM: Kalmer Kikas, tel: +372 50 19 745, e-mail: kalmer.kikas@bpmcapital.eu