Israel’s Bank Leumi and the European Investment Fund Renew Tech Loan Program
Under the new program, Leumi can offer up to $200 million in financing to tech companies in Israel
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Under the new agreement, LeumiTech, a technology-focused subsidiary of Israel's second largest bank, can offer financing of up to $200 million, a $100 million increase over the original initiative, with EIF providing a guarantee for the funds as part of Horizon 2020, the European Union’s research and innovation program.
The program targets companies with fewer than 500 employees, offering financing under favorable conditions to fund research and development activities. Up to $8 million in credit is available for each company accepted into the program.
Over the past year, 36 deals worth a total of $55 million were completed, Bank Leumi said in a statement, adding that dozens of new deals are currently in the pipeline. Some of the companies to receive financing through the program include Infinidat Ltd., a data storage company; Celeno Communications Ltd., which develops chips for Wi-Fi sets; and Highcon, the maker of a digital cutting and creasing printer.