Q1 2020

10 EU BUSINESS NEWS / Q1 2020 , Feb20051 Invest in the Best There is a growing demand for investment funds that are willing to take risks investing in entrepreneurs and businesses in emergingmarkets. As these markets develop, the need for such funds is of growing importance.We take a closer look at Buxeros Capital, a public-private high-impact fund that is supporting the expansion of Dutch SMEs into emergingmarkets. Buxeros Capital engages with a broad range of stakeholders and entrepreneurs to seek out business opportunities that are both commercially viable and have a substantial social impact. Established by a group of acclaimed Dutch investors and the Dutch Ministry of Foreign Affairs, the firm has been specifically designed to meet the needs of Dutch and local SMEs abroad who face particular constraints in accessing funding in emerging markets. In order to gain investment from Buxeros Capital, the SMEs raising capital must have a Dutch connection. Buxeros is thereby able to receive match funding (at a ratio of 1:1) from the Dutch Good Growth Fund, due to its engagement with the Dutch business community. Constraints are placed on the firm’s ability to invest, as the investment must be both justifiable in terms of the economic impact at the local level and the likelihood that the investment will be recouped. Buxeros Capital prioritizes deals and investments that are sustainable, with business models that add value to the local or regional economy and society. Due to the partial public funding the firm receives, there is an onus on the firm to secure the best possible return on its investments. As such the firm’s core principals are the generation of value through investment and a commitment to growing businesses. The blend of private and public stakeholders also gives the Buxeros a degree of agility to swiftly manoeuvre through traditionally bureaucratic procedures. The expertise of the private equity veterans that form the management team of Buxeros Capital, has found support in a government that wants to ensure local businesses keep growing. The current director Corné Melissen, is a partner at the eminent private equity firm Ramphastos Investments, who brings decades of expertise to the table. Buxeros Capital’s portfolio companies receive both the benefits of skilled entrepreneurs as co-investors, as well as partners with the experience to help scale B U X E R O S C A P I T A L