In total at least half be the public money

Nine and a half months after the initiative launched by the Elysee, the Minister for SMEs, Renaud Dutreil, is currently finalizing the device of 2 billion euros of financing capital of SMEs it will unveil, late October, with Thierry Breton. Renaud Dutreil exposes the outline at a symposium organized today in the Senate by the French Association of investors in capital (Afic) on the theme of the development capital. Provisionally called France investment, this device will depend in part on a public-private partnership that the Minister of SMEs is currently negotiating with the Caisse des Dépôts and half a dozen institutional investors (banks, insurers, etc). The CDC will be to significantly increase its resources and move funds to height of one to one. In total, at least half of the funds is public.

You have launched an appeal to the private partners to mount the device of the EUR 2 billion of funding capital for SMEs. For what reason

France investment will be structured into two branches, one at 100, the other based on a public-private partnership based on foreign systems, but with no real equivalent in itself. Each of its branches will consolidate several funds of funds which will be designed to invest in funds of development capital and venture capital, two trades we need to rebalance to impressive amounts drained by the "leveraged buy out" (LBO). Investment in development capital is almost five times lower in France to the United Kingdom. The public part of France investment will be incorporated by the contribution of the programme of general interest for SMEs implemented since 1994 by the Caisse des Dépôts et Consignations (CDC).

What amounts will allocate the Caisse des Dépôts et Consignations France investment

General interest program invests 150 million per year, but the Fund should very significantly increase its means. We work very effectively with Francis Mayer and Jerome Gallot that joint branch, it abounds, to height of one to one, each euro provided by the private partners, which is a considerable leverage effect. In total, at least half be the public money. But France investment is not a state machine. These are private actors who will manage these funds of funds, the governance of all being provided by a Board chaired by René Ricol. This is a new type of public-private partnership, the approach is similar to the Quebec model.

What private investors will come in this device

We have a "roadshow" of fundraising in good and due form, and we are in discussion with half a dozen institutional investors. Our goal with the Prime Minister following this device very closely, is that the place of Paris can grab as broadly as possible.

France investment will be a good tool to help insurers to invest in unlisted SMEs. Apart from the companies sector insurance does not have instruments to meet the political commitment made two years ago. France is the vector that they were missing.

The device also fund the creation of "shoots"

The public branch of France investment could argue for "business angels" organized into companies of venture capital (VCC), from the time when they will have a certain size. This will be an additional incentive to reunification in the 1,500 to 2,500 "business angels" networks that have not yet done so, on a total of 4,000 in France.

What other measures for the networks of "business angels"

The Finance Bill 2007 opens "business angels" companies device Madelin, who was hitherto reserved for individuals who invest in SMEs. Investing through a company people will now be able to deduct from their tax 25 of their investment in a SME, capped to 40,000 euros for a couple. Moreover, OSEO will deliver the Sofaris guarantee which was granted to the only professional funds to insure, in part, against the loss of an investment. Finally, we will launch by the end of the year a second call to project to label networks of business angels. A first call, who received about 20 applications, has led to the labelling of 11 networks that can benefit from assistance from the State for their operation, which can go up to 100,000 euros over three years.