C-Quadrat Ampega Asset Management Armenia Launches its Social Investment Fund to foster Socio-economic development in Armenia

27.10.2023

 

C-Quadrat Ampega Asset Management Armenia is proud to announce the launch of the "Social Investment Fund," a groundbreaking initiative aimed at fostering socio-economic growth in Armenia and nurturing the growth of a robust social impact investment ecosystem.

The Social Investment Fund is dedicated to supporting companies in Armenia with a clear social impact mission, seeking to address current socio-economic and environmental challenges. The fund will focus its investments on areas aligned with the United Nations Sustainable Development Goals (SDGs), including:

 

- Making quality education accessible to all

- Environmental conservation and protection

- Promoting resilient infrastructure and clean water accessibility

- Providing affordable and efficient healthcare

- Promoting renewable energy solutions

- Fostering a sustainable economy and responsible consumption

The fund will consider financing enterprises either operating within Armenia or actively pursuing economic interests in the country. Eligible companies should be financially stable or exhibit a promising business model while demonstrating the potential for substantial social impact.

The fund offers two distinct investment opportunities to eligible companies:

  1. **Direct Capital Investment:** This option primarily targets startups operating in the specified fields or those in the early stages of development with a validated social impact mission. By securing direct capital investment from the Social Investment Fund, these companies not only gain access to financial resources but also benefit from the credibility and support of an institutional investor with international capital. This association is likely to enhance the attractiveness of these companies to other investors, opening doors for additional funding opportunities.
  2. **Low-Interest Loans:** Small enterprises that have been actively contributing to social impact initiatives for at least one year are eligible for this funding option. The fund offers these loans at interest-free or significantly lower-than-market annual interest rates. The primary objective is to stimulate the growth of small social enterprises and prepare them for future capital market engagement, including securing bank loans and direct equity investments.

 

When evaluating investment proposals, the Social Investment Fund will prioritize companies whose social impact is expected to be the most significant.

The application process officially commences on November 1. Companies interested in seeking funding are encouraged to express their interest by sending an email to socialfund@c-quadrat-ampega.am.

“We firmly believe that the establishment of this fund, as part of our corporate social responsibility, will set a remarkable precedent in the Armenian market. We anticipate it will inspire other leading companies to follow suit, thereby expanding opportunities in the market and amplifying our collective social impact," stated the CEO of C-Quadrat Ampega Asset Management Armenia,  Mr. Arman Vardanyan.

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