Impact evaluation of the European Circular Bioeconomy Fund (ECBF Management GmbH)

Summary

• The European Circular Bioeconomy Fund (ECBF) was established in 2020 following an EIB tender and closed its fundraising at €300 million by early 2022, exceeding its initial €250 million target.p.6
• ECBF commands an estimated 15% market share among comparable specialized growth-stage bioeconomy VC funds in Europe.p.6
• The cumulative private-to-public capital ratio achieved by ECBF portfolio companies reaches 12.3, leveraging €12.30 of private capital for every euro of public investment.p.6
• The bioeconomy in Europe generates €2.5 trillion in turnover and employs nearly 18 million people, with bio-based industries contributing 30%.p.14
• In 2023, total capital raised in funding rounds involving ECBF co-investors reached nearly $6.9 billion, with approximately 20% allocated to bioeconomy ventures.p.25

Key insights

1. ECBF addresses a critical funding gap by providing growth-stage capital (TRL 6 to 9) to European circular bioeconomy start-ups.p.5
2. Statistical models show no statistically significant evidence of a crowding-in effect on total funding amounts raised when controlling for company age and sector.p.23
3. The fund's portfolio is heavily concentrated in Northwest Europe, particularly in France, Germany, the Netherlands, and Belgium, with high focus on agriculture and nutrition.p.18
4. Key circular bioeconomy sectors like bio-based chemicals, forestry, and the blue economy remain underrepresented in the current portfolio.p.7
5. ECBF offers significant non-financial advantages, including enhanced credibility, cap-table endorsement, strategic management advice, and network expansion.p.29
6. Reported environmental performance shows 53% greenhouse gas emissions savings compared to conventional products across supported innovations.p.8