EU support innovative medical research with €75 million loan to Evotec
“The development of innovative treatments is a process which requires sustained investment. This is where the Investment Plan can play a role. I am glad that, with today’s agreement, the Plan is supporting research which aims to tackle serious illnesses and diseases.” Commission Vice-President Jyrki Katainen, responsible for Jobs, Growth, Investment and Competitiveness said. The Investment Plan for Europe continues to support innovative projects in the health sector.
The European Investment Bank (EIB) is providing €75 million to Evotec to invest in research and development of treatments for serious illnesses. The loan is guaranteed by the European Fund for Strategic Investments (EFSI), the central element of the Investment Plan for Europe, the so-called Juncker Plan. Evotec will use this long-term financing boost to finance drug discovery and the development of new treatments for serious illnesses and diseases. The type of financing is also novel: it is the first large equity-type investment under EFSI in any industry anywhere in Europe. It also EFSI’s first contingent investment, meaning the bank shares the risk of Evotec’s research & development (R&D) success. This agreement with Evotec comes days after agreements were finalised with MagForce to develop new treatments for brain cancer as well as Apeiron which also develops cancer treatment, particularly a rare type affecting children. Also today the European Investment Fund signed a deal with ACT Ventures to provide €20 million in financing to small tech businesses in Ireland.