Capitalizar Credit Line 2018
COVID-19, 200 Million euros
12th of March, 2020
The Capitalizar 2018 – COVID-19 Credit Line launched by the Government with a global allocation of 200 million euros, is intended for Portuguese companies whose activity is being affected by the economic effects resulting from the coronavirus outbreak, and in which there is a a drop in sales of at least 20% in the last 60 days prior to the submission of the request to the IC compared to the same period of the previous year.
Recipients
Preferably Small and Medium Enterprises (SMEs) or other companies, located in the national territory, that meet the following requirements:
- They carry out activities included in the 2018 Capitalizar Line CAE list;
- No debts to FINOVA;
- Present a positive net worth in the last approved balance sheet or certified interim balance sheet up to the operation’s framework date;
- Absence of unsettled incidents with the Bank at the date of issuance of the contract;
- Regularized tax and contributory status;
- Statement explaining the negative impacts of the outbreak that justify the need to obtain funding (standard draft).
COVID-19 specific condition
Companies will have to declare that the company’s sales have decreased by at least 20% in the last 60 days prior to the presentation of the financing request at the Bank, compared to the same period of the previous year.
| COVID-19 Working Capital | COVID-19 Treasury Ceiling | |
| “first come first served” allocation | 160 million euros | 40 million euros |
| Maximum amount per company | 1.5 million euros | 1.5 million euros |
| Eligible operations | Intended to finance working capital needs, in the form of short and medium term bank loans | Exclusively intended to finance treasury needs in a revolving regime, excluding guarantee operations |
| Deadline | Up to a maximum of 4 years | 1, 2 or 3 years, with the possibility of reducing the total or partial credit limit, without penalty |
| Grace period | Maximum of 12 months | n.a. |
| Period of use | up to 12 months | Continued use up to the contractual term and limit |
| Interest rate | Fixed or variable plus spread | Fixed or variable plus spread |
| Warranty and counter-warranty | Guarantee provided by the Mutual Guarantee Societies (SGM) – Agrogarante, Garval, Lisgarante, Norgarante – intended to guarantee up to 80% of the outstanding capital. Benefit from a 100% FCGM counter-guarantee | |
| Maximum Term for Decision on the Transaction by the Mutual Guarantee | Operations up to €200M – 7 working days Operations above €200M – 12 working days Syndicated operation between the Guarantee Societies: plus 5 working days. |
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| Period of validity | Until May 31, 2020 | |