Last Updated: December 24, 2025
BPF Co-Investment Programs Overview
| Program | Focus | Ticket Size | Status |
|---|---|---|---|
| Deal-by-Deal Programme | VC/Growth | €200K - €10M+ | Active |
| Portugal Ventures | VC Direct | €250K - €5M | Active |
| Revitalizar Norte | Regional PE | €1M - €5M | Active |
| Regional VC Funds | Geographic | €250K - €1.5M | Active |
Banco Português de Fomento (BPF) serves as Portugal's national development bank, offering institutional investors and fund managers structured co-investment opportunities to leverage public capital alongside private investments. Established in 2020 through government decree, BPF manages multiple co-investment programs totaling over €200 million specifically designed for public-private partnerships in venture capital, private equity, and growth financing.
Banco Português de Fomento: Overview
Establishment and Legal Framework
Banco Português de Fomento was established in August 2020 through decree-law approved by the Council of Ministers, merging three existing institutions: SME Investments (PME Investimentos), the Development Financial Institution (IFD), and SPGM (Sociedade de Investimento). The bank operates as a fully state-owned national promotional institution with initial share capital of €255 million and total assets of approximately €950 million.
€950M
Total Assets Under Management
€200M+
Co-Investment Capital Available
100%
State-Owned Institution
Co-Investment Program Comparison
Investment Parameters by Program (€M)
Deal-by-Deal Co-Investment Programme
The Deal-by-Deal Programme represents BPF's flagship co-investment offering for fund managers and institutional investors. This program provides flexible co-investment capital on a transaction-by-transaction basis, enabling private investors to amplify their investment capacity with public development capital.
| Parameter | Specification |
|---|---|
| Investment Range | €200,000 to €10M+ per transaction |
| BPF Participation | Up to 50% of total round |
| Target Companies | Portuguese SMEs with growth potential |
| Eligible Investors | CMVM-registered fund managers, qualified investors |
| Program Duration | Active until December 2025 (subject to extension) |
| Investment Horizon | 5-7 years typical holding period |
Deal-by-Deal Eligibility Requirements
- Lead investor must be CMVM-registered or equivalent EU authorization
- Target company must be Portuguese-incorporated or have significant operations
- Transaction must involve growth capital, expansion, or innovation
- Lead investor commits minimum 50% alongside BPF
- Company meets BPF ESG and governance standards
Portugal Ventures
Portugal Ventures (PV) operates as BPF's direct venture capital arm, investing alongside private VCs in early-stage Portuguese startups. With over €130 million in AUM, PV is one of Portugal's largest institutional VC investors and a frequent co-investor in seed through Series B rounds.
Sector Focus
Investment Criteria
- Stage: Seed to Series B, emphasis on early growth
- Ticket: €250K - €5M per investment
- Sectors: Digital, HealthTech, Industrial Tech
- Geography: Portugal-based or significant PT operations
Regional Co-Investment Funds
BPF operates several regional venture capital and private equity funds focused on specific Portuguese regions, supporting economic development outside Lisbon and Porto metropolitan areas.
| Region | Fund | Focus | Size | Status |
|---|---|---|---|---|
Norte | Revitalizar Norte | SME recapitalization | €75M | Active |
Leiria | Capital Leiria | Regional SMEs | €15M | Active |
Azores | Açores Capital | Azores-based companies | €8M | Active |
Madeira | Madeira Capital | Madeira-based companies | €10M | Active |
Application Process & Timeline
The BPF co-investment application process involves multiple stages of review, from initial inquiry through final closing. Total timeline typically ranges from 3-6 months depending on transaction complexity.
Initial Inquiry
Contact BPF, initial eligibility screening
Preliminary Review
Business plan and financial assessment
Due Diligence
Full DD including legal, financial, technical
Investment Committee
Final approval and term negotiation
Documentation & Closing
Legal documentation and fund transfer
Investment Terms
Standard Terms
- • Pari passu investment alongside lead investor
- • Pro-rata follow-on rights
- • Board observer rights (for larger investments)
- • Standard anti-dilution protections
- • Tag-along/drag-along provisions
BPF Requirements
- • ESG compliance and reporting
- • Quarterly financial reporting
- • Material change notifications
- • Portuguese employment maintenance
- • Geographic investment restrictions
Benefits for Fund Managers
Amplified Investment Capacity
Access up to 50% additional capital per deal without raising additional LP commitments, enabling larger tickets and more competitive positioning.
Institutional Credibility
BPF involvement signals institutional validation to other investors, portfolio companies, and exit counterparties.
Favorable Economics
Pari passu terms without carried interest share to BPF - all upside retained by private investors while sharing downside risk.
How to Apply
Fund managers and institutional investors interested in BPF co-investment should contact BPF directly through their investment team. Initial discussions typically begin with a presentation of the target company and proposed transaction structure.
BPF Contact
Website: www.bfranco.pt
Email: Investor relations through institutional contact channels
Location: Lisbon, Portugal
Conclusion
BPF co-investment programs offer compelling opportunities for fund managers to leverage public development capital alongside private investments. The Deal-by-Deal Programme, Portugal Ventures co-investments, and regional fund partnerships provide flexible structures for various investment strategies and company stages. For international investors targeting Portuguese companies, BPF participation can significantly enhance deal economics while providing institutional validation and risk-sharing benefits.