The Best Technological Projects from All Over Russia Will Receive Up to RUB 500 Mln to Implement Their Innovations in the Far East
The Far East High Technology Fund, established by RUSNANO, RVC and the Far East Development Fund announces the #GoEast open selection for startups. Applications can be submitted until October 5
August 12, 2020, the Far East High Technology Fund (FEHTF), supported by the Ministry for the Development of the Far East and the Arctic, has announced an open selection for high-technology projects from all over Russia, with the best innovations to be implemented in the Far East. The #GoEast application and selection process will take at least three months.
The most promising high-technology projects will receive up to RUB 500 mln of investment in the project’s capital from the Far East High Technology Fund, in order to implement their investment plans and carry out R&D. In accordance with the terms of the selection, part of the funds must be used to localize and develop the business in the Far East.
Any technology company with a documented turnover of RUB 30 mln or more in the last 12 months can take part in the selection. Innovations in the following five fields will be prioritized:
- IT (including consumer-focused and financial services, cloud technologies, and technologies to improve the quality of urban life)
- Energy technologies (including alternative energy infrastructure and sources)
- Medical technology and biotechnologies, including technologies for the agricultural sector
- Manufacturing technologies (including autonomous transport, robotics, and the Internet of Things)
- Educational technologies.
Working with independent experts, the Fund will, over several stages, select the 5 strongest projects, which will be invited to enter into a structured investment agreement with the FEHTF. In the course of the selection, the Fund will assist the projects in developing a business plan in order to integrate their solutions and technologies in the Far East. As part of the #GoEast competition, a series of meetings and webinars will be conducted, in which the participants will be able to learn about the opportunities for technical entrepreneurship in the Far East.
“The main goal for the authorities and the development institutes is to attract investment, develop the economy of the Far East, support the sector and promote the establishment of high technology production operations,” said Yury Trutnev, authorized representative of the government of the Russian Federation for the Far Eastern Region. “That means that we need to help investors, create a good investment climate, in order to launch and successfully implement new investment projects, including in the area of advanced technologies.”
“In the Far East, systematic work is under way to create attractive conditions for doing business. These include measures which are already in operation - tax breaks and non-tax benefits which are available to companies which open new production operations in the region, as well as new support measures for the high technology sector, which are currently being developed as part of the national programme for the development of the far East. The technological development of the region is an important challenge, and achieving it will require groundbreaking ideas and the participation of the most skilled specialists, who will be able to put those ideas into practice. That is why we are willing to work together with promising companies which are interested in the application and further development of their innovations in the Far East - whether the projects in question were originally created in the Far East or in another region of our country,” said Alexander Kozlov, Russian minister for the development of the Far East and the Arctic.
“#GoEast is an initiative of the Fund which is aimed at finding promising projects for investment and then development in the Far East, as well as being a way to inform young entrepreneurs about the opportunities that the region offers for technology businesses. The Fund can invest from RUB 50 mln to RUB 500 mln in a single project, and the companies which pass the #GoEast selection process and, jointly with us, develop a plan for the development of their business in the region, will be able to rely on us for funding within the above range, and the actual amount will depend on how much investment is needed for the implementation of their plans,” said Ruslan Sarkisov, general director of the FEHTF.
“We at RUSNANO are ready support to companies, not only by providing funding, but also by allowing them to draw on our experience in the areas of marketing, corporate administration and management. We are also ready to work together with the applicants on building an effective system for dialogue with the main potential consumers of their products,” added Sergey Vakhterov, Senior Managing Director, Investment Management at RUSNANO Management Company.
Technoparks, innovation centres and business accelerators, including Skolkovo, the Internet Initiative Development Fund and Generation S, are already working on the selection of projects as part of the #GoEast program.
RUSNANO Joint-Stock Company was founded in March 2011 through reorganization of state corporation Russian Corporation of Nanotechnologies. JSC RUSNANO contributes to implementation of the state policy on the development of the nanotechnology industry by investing directly and through investment funds of nanotechnology in financially effective high-technology projects providing the development of new production facilities in the Russian Federation. Its primary investment focus is in electronics, optoelectronics and telecommunications, healthcare and biotechnology, metallurgy and metalwork, energy, mechanical engineering and instrument making, construction and industrial materials, chemicals and petrochemicals. 100 percent of RUSNANO’s shares are state owned. Thanks to RUSNANO’s investments, there are currently 138 factories and R&D Centers opened in 37 regions in Russia.
Management of assets of RUSNANO JSC is carried out by Limited Liability Company established in December 2013, RUSNANO Management Company.
Work to establish nanotechnology infrastructure and carry out educational programs is fulfilled by RUSNANO’s Fund for Infrastructure and Educational Programs, which was also established during the reorganization of the Russian Corporation of Nanotechnologies.
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The Far East High Technology Fund (FEHTF) was created in August 2018 on instructions from Vladimir Putin, President of the Russian Federation, and Yuriy Trutnev, Deputy Prime Minister and Plenipotentiary Representative of the President of the Russian Federation in the Far Eastern Federal District. The assets of the Fund amount to RUB 5 bln and as of April 2021 it had invested a total of RUB 1 bln. The Fund has financed Hotlead and Visitech, high-tech companies in the Far East, as well as companies involved in the localization of manufacturing in the region, including Promobot, a manufacturer of robots, Cinemood, a developer of portable television projectors, Motorika, a producer of bionic prosthetics, Titan Power Solutions, a developer of supercondensers, and Digital Primorye, a project to introduce “smart” information systems. The Fund’s investors are VEB.DV, RUSNANO (a member of the VEB.RF Group) and the Russian Venture Company (RVC).
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