Below you will find the eligibility criteria for the National Defence Fund. Meeting these conditions is an essential prerequisite, but does not guarantee funding: each project will undergo a thorough evaluation, conducted according to NDF’s investment standards and a procedure ensuring fair treatment.

 

At the moment, the National Defence Fund is not yet operational.

 

Investment Funds – Eligibility Criteria

To be eligible, a fund must satisfy the criteria of financial performance and Luxembourg economic substance, while also meeting the following requirements:

  • Key Sectors: Dual-use sectors focused on cybersecurity, space, advanced materials, and automation.
  • Strategy: Venture capital (VC), private equity (PE), or private debt.
  • Legal Structure: Based in Luxembourg; investments in non-Luxembourg-based funds possible under certain conditions.
  • Regulation: Regulated or supervised structures at the fund and/or manager level.
  • Shareholding: Minimum 30% private investors.
  • Luxembourg Substance:
    • Local presence of the investment team and key persons;
    • Search for investment opportunities in Luxembourg;
    • Establishment of companies in Luxembourg;
    • Close cooperation with the local ecosystem.

 

To facilitate our analysis, your application must include: Investment strategy, team presentation and track record, competitive positioning, governance, legal structure, and a summary of terms and conditions (Term Sheet).

 

Co-investments – eligibility criteria

To be eligible, a co-investment proposal must satisfy the criteria for financial performance and Luxembourg economic substance, while also meeting to the following requirements:

  • Model: Systematic co-investment through a Special Purpose Vehicle (SPV) alongside a venture capital (VC), private equity (PE), or private credit fund.
  • Partner: The co-investing fund must be regulated or supervised structures at the fund and/or manager level.
  • Shareholding: Minimum 30% private investors.
  • Target companies: Start-ups, SMEs, and mid-sized companies, from seed to growth stages.
  • Key sectors: Dual-use sectors focused on cybersecurity, space, advanced materials, and automation.
  • Luxembourgish substance:
    • Business plan demonstrating concrete local development (profit centre);
    • Material contribution to innovation in sector clusters;
    • Close cooperation with the local ecosystem.

 

To facilitate our analyse, your application must include: A detailed business plan of the local entity in relation to the global group, a presentation of the team, a market analysis, governance, and a complete presentation of the co-investing fund (history, team, structure, and conditions).

 

Contact

Do you have a project that meets the above criteria? Submit it to us here: info@fnd.lu