Authorizations and exposure

• COFIDES can grant loans to either the project company abroad or to the Spanish investor
• The terms are determined by the expected return period for the project, between 3 and 10 years, with generous grace periods during the first years of the project
• Both senior loans and junior loans are offered:
• Ordinary loan: Loan with a fixed margin over the reference interest rate
• Co-investment loan: Loan that includes an additional remuneration component in its interest rate linked to the evolution of a certain variable of the financed business (e.g., sales or EBITDA), or to an internationalization variable

• COFIDES’ direct or indirect holdings in companies created abroad are always minority position, transitory, and with a repurchase agreement with the Spanish investor
• COFIDES does not participate in the daily management of the project—this is a task undertaken by developers
• The following modalities are available:
• Capital-interest: Equity investment in a project company or vehicle whose divestment price is a single amount equivalent to the total capitalization plus capitalization of interest
• Capital-limited: Equity investment in a project company or vehicle whose divestment price is within a certain range
• Capital at open price: Equity investment in a project company or vehicle whose price depends on the evolution of the project itself

• CRECE + INTERNACIONAL is a program targeting SMEs and small and medium capitalization companies that, through capital and quasi-capital instruments, finance the company’s growth plan
• COFIDES Impact promotes investment projects that have a positive impact on the SDGs
• It creates a link between funding and the impact of the investments through key project indicators (KPIs) or management procedures that improve the contribution to the SDGs of companies financed by COFIDES
• Origin of the funds: NextGenerationEU
• Bonus in the price of financing through the variable component of price sustainability, linked to the achievement of certain KPIs of a sustainable nature - Maximum amount of interest rate subsidy per transaction is, in any case, EUR 50,000
• Technical assistance component provides non-reimbursable resources to partially the cost of consulting and specialized training up to 50%
• Bonds
• Project finance financing
• Blended finance:
• Combines a non-reimbursable contribution from the European Union with reimbursable financing mobilized by COFIDES. This financing may be supplemented with contributions from other national and multilateral financial institutions, the private sector or the host country itself
• Non-reimbursable contribution from the European Union is provided through different instruments designed to support investment. The decision of which instrument to use depends on the specific characteristics and needs of each project and may be combined
• Green climate fund (GCF) - 4 types of financial instruments under the Green Fund which are combined with funding granted by public or private institutions for the financing of climate projects:
• Equity investment
• Conccesional loan
• Guarantees
• Donations

• COFIDES makes use of an environmental and social evaluation process, as an integral part of its due diligence procedures

• COFIDES is a signatory of the EDFI Harmonised Fossil Fuel Exclusion List and the EDFI Statement on Climate and Energy Finance

• COFIDES has an environmental and social assessment procedure that it employs as an integral part of the due diligence it performs when preparing its operations

• 2024: COFIDES introduces the Co-Investment Fund (FOCO) and the Social Impact Fund (FIS) to the main consulting firms

• 2024: IVF, COFIDES, Elkargi and Basque Trade & Investment renew the agreement to support the internationalization of Basque companies

• 2023: Royal Decree Law creating the Co-Investment Fund (FOCO)