The Rebuild Ukraine Fund (REBUF), managed by Dragon Capital, will receive a $15 million investment from the Norwegian state investment fund Norfund. The funds will be directed towards supporting Ukrainian businesses that strive for growth despite the challenging conditions of wartime.
This is reported by Business • Media
Support for Ukrainian companies in key sectors
REBUF aims to attract a total of $250 million for investment in businesses that have maintained resilience amid the full-scale war. Priority areas for funding include manufacturing, the consumer goods sector, healthcare, and technology. The funds raised from Norfund will be included in the first closing of the fund along with contributions from other European development financial institutions, including the IFC and the European Bank for Reconstruction and Development (EBRD). In November, the IFC and EBRD pledged to invest $25 million each in the fund.
REBUF plans to raise a total of $250 million and invest in companies that have remained resilient despite the war. Priority sectors include manufacturing, consumer goods, healthcare, and technology.
Dragon Capital and the economic recovery strategy
Dragon Capital has already announced its intention to invest $20 million of its own into the fund. The company has been managing private equity funds since 2010, and REBUF is its third such fund. The main goal of the new fund is to promote the economic recovery of Ukraine by investing in small and medium-sized enterprises, as well as mid-cap companies with annual revenues of up to $50 million.
Norfund’s investment in REBUF is already the second initiative of the fund to support Ukrainian projects. Norfund aims to support high-risk projects that have a significant impact on Ukraine’s resilience, its further reconstruction, and integration into the European economy.