Novo Banco dos Açores, S.A., and the Azores Business Capitalization Fund, owned by the Region and managed by Banco Português de Fomento, signed a protocol on Tuesday to launch the Azores II Participatory Capital Program.

According to Banco Português de Fomento, this program, with a budget of €50 million, aims to stimulate the growth and expansion of Azorean companies “through investment and direct financing operations, in co-investment with private investors, promoting investment, growth, and financial autonomy of the regional business fabric.”

Novo Banco dos Açores is the only financial institution to sign the protocol. The chair of Novo Banco’s executive committee in the region, Marta Guerreiro, stated at the signing of the protocol in Ponta Delgada that “Equity Capital Programs differ from traditional financing in that they are quasi-capital instruments, allowing for an improvement in the financial autonomy ratio of companies, which is a very important factor in improving risk assessment and access to EU funds.”

She emphasized, as quoted in a statement from the bank, that this instrument “was designed to be agile, transparent, and adapted to the needs of companies, promoting rapid access to capitalization funds, with close and rigorous monitoring, and respecting best practices in risk analysis and compliance, while remaining very attractive in terms of price.”

The financing ranges from €250,000 to a maximum of €10 million per operation, with maturity dates that can extend until the end of June 2031. “The bank always participates with at least 30% of the loaned capital, with the remaining percentage coming from the Fund,” said Marta Guerreiro.

“Novo Banco dos Açores is the only institution that has signed up to this protocol, which gives it the responsibility and privilege of being the exclusive partner in its marketing, a fact that reinforces the Bank’s commitment to the Region and its companies, placing it at the forefront in the search for innovative solutions for the economic development of the Azores,” she said.

The signing of the protocol was also attended by the Regional Secretary for Finance, Planning, and Public Administration, Duarte Freitas, the Chairman of the Executive Committee of Banco Português de Fomento, Gonçalo Regalado, and the Chairman of the Board of Directors of Novo Banco dos Açores, Gualter Furtado.

in Diário Insular-José Lourenço, director

Translated into English as a community outreach program by the Portuguese Beyond Borders Institute (PBBI) and the Modern and Classical Languages and Literatures Department (MCLL), in collaboration with Bruma Publication and ADMA (Azores-Diaspora Media Alliance) at California State University, Fresno. PBBI thanks Luso Financial for sponsoring NOVIDADES.