Cleantech Finland event presentation June 4th 2015.

1. Tekes Funding as Bridge to Co-
operation with Chinese Companies
Teija Lahti-Nuuttila
Executive Director, Tekes
June 2015

2. Tekes – growth and wellbeing from renewal
05-2015DM 1462612
 Main public funding organisation for R&D and innovation in Finland
 Networks and expertise
 Focus on growth-seeking, innovative SME’s
 Seeking for forerunners and strategic innovations
 Customers: Finnish and international companies
located in Finland, universities, research and
other public organisations
 Funding instruments: grants, loans and
soon also capital investments
 Annual budget 610 million USD
 Personnel 400 in Finland and abroad

3. Ministry of
Education and
Culture
Finnvera
Academy
of Finland
Tekes
Finnish Industry
Investment
Sitra
Public funding actors in the Finnish
innovation environment
02-2015DM 36100
Basic research Applied research Business R&D Business development
Marketing
Internationalisation
Finpro
Regional ELY Centres

4. Tekes’ services for SMEs aiming for international
markets
Plan global growth:
test customer need, understand markets,
build a good team
Create new data and knowhow for
future business.
Develop management, worklife,
productivity, processes and
knowhow.
Develop or renew products, services
and business model. Convince the
customer that the product works.
DM 1272687
Planning for global
growth
Research and
development funding
Development and
piloting
Team Finland
services
Organisation
development
Programmes

5. National level MoU’s
State agreement S&T 1986 MOST – MEE – (Tekes)
- China-Finland Nano Innovation Center MoU 2011 MOST – MEE
- China-Finland Cleantech SME Cooperation 2013 MOST -Tekes
Beautiful Beijing MOU between Tekes, the Finnish Funding Agency for Innovation and the Chinese
Ministry of Environmental Protection (MEP) - 2013
5-year Tekes MoU’s
Shanghai S&T Commission (since 2005, renewed 2010)
Beijing S&T Commission (2007, renewed 2012)
Jiangsu Province S&T Department (2007, renewed 2012)
Zhejiang S&T Department (2009, renewed 2013)
University agreements
Tsinghua University Finlab program 2014
Tongji University 2011 (5 years)
Fudan University – iLab program (MAP – program) 2012
Tekes China Network

6. Cooperation projects in China funded by Tekes

7. Joint calls in practise
• At least one Chinese and one Finnish company participant.
• Academic/research entities are eligible to join as sub-
contractors only.
• Both Chinese and Finnish sides must submit their
application. One side application is not valid.
• Finnish participants submit proposals through Tekes'
electronic system and include a project plan and own funding
plan.
• The funding will be granted according to both countries'
usual funding principles.
• Tekes will follow the Tekes normal funding rules.

8. Experiences
• More and more companies interested
• Joint calls have been easy to operate –
efficient and productive way to cooperate
• Match Making events and visits a crucial
part
• Capacity building in different business
cultures and operating environments also
important

9. Tekes funding is either a loan or a grant
DM 1272687
Loan - companies’ development and piloting projects
 When commercialisation is near or when existing know-how is applied
for generating new business activity
 Company can test and ensure the functionality of the solution with
the customer
 Loan has a low rate of interest. No collaterals needed.
 Possible to receive 30 per cent of the funding already when the
project begins.
 If the project fails, part of the loan may be partly converted into a grant
Grant - companies' research projects
 Tekes offers grants to companies' research projects, where the main
emphasis is on creating new competence and knowledge.
 Grant is paid on the basis of the project's actual eligible costs

10. Tekes’ innovation funding for SMEs
grant max. 50 %
Development
and piloting
loan 50–70 %
Planning for
global growth
grant 50 %
max. EUR 100 000
Companies under 5 years: grant 75 %
max. EUR 50 000
Research projects
DM 1272687

11. Funding for the best
ideas and companies
Spirit to grow
Resources to develop
Courage to take risk
Expertise to succeed
Winning team
DM 1272687

12. Funding for foreign companies
 Tekes can fund R&D projects of
foreign owned companies
 Legal entity and operations are
required in Finland
 Foreign owned companies are
funded on same criteria and
conditions as Finnish companies
 Funding application is required
05-2015DM 1462612

13. Tekes Venture Capital Ltd – key facts
• Promote the business activities of the
Finnish early stage companies by making
investments in venture capital funds
Mission
• Develop the Finnish venture capital market
• Help early stage companies to attract more
private investments
• Versatile capital supply to early stage
companies
Goals
• Owned and financed by the state of Finland
• Ownership steering by Tekes
• Operations based on GBER*, risk finance program
and investment policy
• 2 employees, 3 board members
• www.tekes.vc/en
Company
5.6.2015 13
* EU General Block Exemption Regulation

14. VC Market* and Tekes.vc focus area
145.6.2015
75
50
25
Lifeline Ventures
Butterfly
Vendep
Royal Majestic
M€
VNT Management
Early growth
EastWings
Conor
Inventure
OpenOcean
Vision +
Fundsize
Gorilla
Early stage
Tekes.vc
focus
area
Tekes.vc investment policy:
• Funds managed by private
management teams
• Fund size up to 20 m€
• Tekes VC’s share 25 % - 50 %
– However, ticket size max. 6 m€
• Asymmetric profit distribution for the
benefit of private investors possible
• Competetive market terms
• Open, continuous selection process
• Expecting to make 2 – 4 new fund
investments per year
* Tekes.vc view of the market. Not an exhaustive picture of VC managers and funds in Finland.
Including only funds with capital for initial investments.

15. Tekes customers are successful
01-2015DM 1401380
Ranks 50 fastest growing tech
companies in Finland 2014. More than
80 % of these companies have grown
to international markets.
Top 10 companies
(Tekes customers bolded)
1. ePassi Payments (8,431%)
2. Tuxera (6,391%)
3. Valopaa (3,091%)
4. Alekstra (2,240%)
5. Diktamen (1,955%)
6. iLOQ (1,832%)
7. Anders Innovation (1,705%)
8. Efima (1,435%)
9. Eniram (945%)
10. Solinor (749%)
(growth in 5 years, %)
The Wired Magazine lists Europe’s hottest startup
companies. Most of the Finnish companies listed
are part of the Tekes young innovative companies
funding programme.
Nanol Technologies
Sumoing
Beddit
Diktamen
Playraven
Nexstim
Nextgames
Bitbar Technologies
Team Onomatics
5th Wave Brands

16. 谢谢!
Thank You!
Do not hesitate to contact us!请立即与我们
联系吧！
www.tekes.fi/en