We have made private equity and venture capital investments amounting to more than one billion euros over 21 years. Our current portfolio includes 723 companies, in which we invested either directly or through funds.
As a state-owned investment company, our mission is not only to be commercially profitable but also to develop Finland’s venture capital and private equity market as well as to promote Finnish business and economic growth in Finland.
We focus our investments on relieving bottlenecks in the supply of venture capital, mainly through targeted investment programmes. Our ongoing investment programmes are:
We operate on market terms, hand-in-glove with private investors on the same terms as them and with the same expectations for returns. Our operations are regulated by law and by decree. Finland’s Ministry of Employment and the Economy is responsible for the ownership steering of the company. We invest in private equity and venture capital funds as well as directly in portfolio companies.
Our business operations over the long term have been profitable. The cumulative total of €655m of investments in Tesi made by the Finnish government has grown into €912.5m of shareholders’ equity (as at the end of 2016). The imputed return on investment (internal rate of interest) for the Finnish government, taken over the company’s whole period of operation, has been positive (approx. 3.4% after taxes).
We plough the returns from our investments back into new investments. In 2016 we made new investments and commitments amounting to €165m.
|Profit for the financial year, €m||44.6|
|Shareholders’ equity, €m||912.5|
|Balance sheet total, €m||943.0|
|Unpaid commitments, €m||305.5|
|Investments at acquisition price and commitments, €m||831.7|
|New commitments during financial year, €m||164.6|
|Return on equity, %||5.0|
|Equity ratio, %||96.8|
|Expenses per balance sheet total, %||0.8|
|Fund investments, number||93|
|Funds, number of portfolio companies||677|
|Parent company, number of direct portfolio companies||36|
|Start Fund I Ky, number of portfolio companies||6|
|Tesi Industrial Management Oy, number of portfolio companies||4|
|Portfolio companies, total number||723|