Purpose
Paragraph 3 of Article 38 of Decree‑Law No. 34 of 19 May 2020 (commonly known as the “Relaunch Decree”) aims to strengthen financial support for the innovative start‑up and innovative SME ecosystem by promoting equity and risk capital investment in these enterprises, particularly in light of the economic challenges posed by the COVID‑19 pandemic.
Scope of application
This provision applies throughout the Italian territory and specifically targets innovative start‑ups and innovative SMEs registered in the special section of the Italian Business Register, as defined under Decree‑Law No. 179/2012 and Decree‑Law No. 3/2015.
Main features and mechanisms
• It allocates additional resources of EUR 200 million for the year 2020 to the venture capital support fund to encourage investments in risk capital and participatory financial instruments for innovative start‑ups and SMEs.
• These funds may be used through subsidised loans, convertible bonds or other debt instruments that allow for repayment, provided that they exclusively benefit the targeted innovative enterprises.
• The measure is part of a broader suite of interventions aimed at reinforcing the innovation ecosystem and improving access to capital for these firms under challenging economic conditions.