Key Takeaways
- • The Basque Government has established a €50 million venture capital fund, HAZTEN SCALE-UP, managed by the Basque Country Venture Capital Management Company, to accelerate growth-stage startups in priority industrial sectors.
- • Investment focus targets HAZI sectors under the Basque Industry Plan 2030: aerospace, biosciences, advanced solutions, smart grids and storage, and renewable fuels—sectors aligned with industrial transformation priorities.
- • The fund operates as a public-private collaboration mechanism, leveraging government capital alongside private investment to anchor knowledge-based startups locally while promoting sustainable, viable business scaling.
- • Regional Minister Mikel Jauregi framed the initiative as essential for creating "new industrial fabric" in an era of industrial transformation, addressing capital gaps for startups emerging from scientific and technological centers.
- • This fund complements the Basque Government's broader €1.047 billion industrial shield package and aligns with the Euskadi Eraldatuz 2030 strategic plan, positioning the Basque Country as a destination for high value-added industrial investment.
Summary
The Basque Government has launched HAZTEN SCALE-UP, a €50 million venture capital fund designed to accelerate the growth of early-stage and scale-up companies within the autonomous region. The fund, jointly overseen by the Departments of Industry and Finance and managed by the Basque Country Venture Capital Management Company, addresses a documented capital gap for knowledge-intensive startups that have achieved product-market validation but require expansion funding.
According to Mikel Jauregi, Regional Minister of Industry, Energy Transition and Sustainability, the fund responds to structural needs within the Basque industrial ecosystem. Jauregi noted that "in this era of industrial transformation, the Basque Government is committed to boosting the growth of Basque startups" and emphasized that the region has established "a benchmark in the creation of startups emerging from the advanced knowledge of our scientific and technological centres." The capital constraint for scaling these ventures has created an opportunity for public sector intervention.
HAZTEN SCALE-UP prioritizes investments in sectors identified under the Basque Industry Plan 2030—specifically aerospace, biosciences, advanced solutions, smart grids and storage, and renewable fuels. These sectors represent the regional government's strategic focus areas for building competitive advantage in high value-added manufacturing and technology-driven industries. The fund operates on a public-private partnership model, with government capital attracting parallel private investment commitments. This structure aims to anchor projects within the Basque economy while generating sustainable returns that can recycle capital for future investments.
The €50 million allocation represents part of a broader €1.047 billion industrial support package the Basque Government has activated, which includes cybersecurity investments for SMEs, diversification programs, and energy autonomy initiatives. HAZTEN SCALE-UP complements the Scalability Investment Programme announced in January through the Basque Institute of Finance (IVF), creating a multi-layered capital infrastructure for companies at different growth stages. The initiative directly supports the regional government's Euskadi Eraldatuz 2030 strategic transformation plan, signaling institutional commitment to restructuring the regional economy around knowledge-intensive sectors rather than traditional manufacturing alone.
According to Mikel Jauregi, Regional Minister of Industry, Energy Transition and Sustainability, the fund responds to structural needs within the Basque industrial ecosystem. Jauregi noted that "in this era of industrial transformation, the Basque Government is committed to boosting the growth of Basque startups" and emphasized that the region has established "a benchmark in the creation of startups emerging from the advanced knowledge of our scientific and technological centres." The capital constraint for scaling these ventures has created an opportunity for public sector intervention.
HAZTEN SCALE-UP prioritizes investments in sectors identified under the Basque Industry Plan 2030—specifically aerospace, biosciences, advanced solutions, smart grids and storage, and renewable fuels. These sectors represent the regional government's strategic focus areas for building competitive advantage in high value-added manufacturing and technology-driven industries. The fund operates on a public-private partnership model, with government capital attracting parallel private investment commitments. This structure aims to anchor projects within the Basque economy while generating sustainable returns that can recycle capital for future investments.
The €50 million allocation represents part of a broader €1.047 billion industrial support package the Basque Government has activated, which includes cybersecurity investments for SMEs, diversification programs, and energy autonomy initiatives. HAZTEN SCALE-UP complements the Scalability Investment Programme announced in January through the Basque Institute of Finance (IVF), creating a multi-layered capital infrastructure for companies at different growth stages. The initiative directly supports the regional government's Euskadi Eraldatuz 2030 strategic transformation plan, signaling institutional commitment to restructuring the regional economy around knowledge-intensive sectors rather than traditional manufacturing alone.
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