INVESTING IN THE FUTURE.

ec.europa.eu/invest-eu | #investEU OPPORTUNITIES START HERE. #investEU EXPLORE THE To revive investments and growth, the European Union STORIES BEHIND supports people, ideas and visions across Europe EU INVESTMENT The European Union (EU) supported the initiative To revive investments and growth, the EU EU funding not only offers people financial of a Bulgarian couple who decided to engage in supports people, ideas and visions across Europe. support for their projects, but project rose oil production in the city of Panagyurishte. beneficiaries can also access hands-on The EU is all about opportunities that deliver Thanks to investment in the project, this coaching and expertise to ensure their projects real benefits and make a difference at a local high-value, traditional industry, which had provide real added value for the people and level. The promotion of growth, employment MODERNIZED WASTE MANAGEMENT disappeared in the region one hundred years ago, communities around them. Results are visible and well-being across Europe is one of its is now back. Already 60 families, including Roma, thanks to knowledge-sharing and research ERASMUS+ main priorities. By investing in people’s ideas HUVEPHARMA have started to grow their own rose gardens. facilities, energy efficient buildings or smart and visions, the EU is removing obstacles mobility solutions, which, in turn, lead to a more and creating favourable conditions for sustainable future for Europe’s cities and regions. development and modernisation across the continent. In support of the pioneering and Whether it’s helping local authorities to build entrepreneurial spirit of Europeans, the EU a modern landfill site, renovating a city’s sewage opens doors and empowers people to pursue system, or building a state-of-the-art skate park their own innovative projects. that is attracting young people from the local PLAYGROUND community and is gaining a reputation as ENERGY Europeans have already come up with original a centre for international competitions, MODERN INTEGRATED SKATE PARK “IZGREV” ‘INA’ ROSE OIL WATER INFRASTRUCTURE ideas for better education, modernised EU funding gives a boost to projects that make METRO DISTILLERY healthcare and greener transport infrastructure, a difference at the local level. RISK CAPITAL to cite but a few examples, and the EU has INVESTMENT FUNDS Only some of these stories feature in this provided the means to get tailored projects off EVALA brochure. But look around in your community the ground. Where valuable projects struggle and you will see that behind European to win investment due to the reluctance of HUVEPHARMA investments there is a wealth of people’s investors to take risks, the EU steps in by stories to discover. backing loans or providing funding for projects that have the potential to succeed.

2 ec.europa.eu/invest-eu | #investEU OPPORTUNITIES START HERE. #investEU ‘INA’ ROSE OIL DISTILLERY PANAGYURISHTE

oil distillery, founding their essential oil says Nikolay, adding that, on the international Rose-growing company Ina Ltd. It turned out that roses from market, Bulgarian rose oil is seen as the perfect Panagyurishte were in no way inferior to those product. Prices fluctuate between €7000 to tradition revived from Kazanlak, and with their distinctive hint of €11 000 a kilogram every year. honey, they have one of the best aromas of any in Panagyurishte Bulgarian rose. As the couple’s rose production Ina Ltd’s products are increasingly highly grew, the distillery was unable to keep pace. regarded across Europe and the company’s With help from European Union (EU) funds, Today, they have around 8 hectares of roses clients include cosmetics manufacturers in an enterprising family in the Bulgarian of but continue to expand their gardens and help France, Germany and Switzerland. Consumers Panagyurishte has revived rose cultivation, some 60 other families to grow the flowers. appreciate the fact that the products bring environmental and social benefits. “It is nice a practice that had completely disappeared in The family also focuses on organic production. to work in harmony with public expectations, the area after the First World War. Following their With funding from the EU’s European Network rather than to simply make money,” concludes example, many other local families have started for Rural Development, they set up another Veselina. to grow their own roses. distillery to produce organic rose oil, which is around 20 % more expensive than its non- Kazanlak is the Bulgarian region most famous organic equivalent. for its roses. However it is 100 kilometres further east, in Panagyurishte, that cultivation Thanks to its growth, Ina Ltd employs an of the oil-rich flowers is being revived by a increasing number of seasonal workers, with family of entrepreneurs. 30-40 people hired for 9-month stints. It takes 3 000-3 500 kilograms of rose petals to make In 2002, Veselina Ralcheva and her husband a kilogram of rose oil. “It is still worth it. This Nikolay were wondering what to do with the is the perfect family business,” says Veselina land they had been given back after the fall convincingly. The rose petals are bought for of the communist regime in Bulgaria that had €1.50-€1.80 (3-3.50 Lev) a kilogramme, 50 cents confiscated their ancestors’ property back in 1945. (1 Lev) of which goes to the pickers. The couple Neither of them knew anything about agriculture, claim that the last harvest was so good that but they decided to start growing roses. they collected 400 kilogrammes of petals from 1 000 m2 of land. Veselina and Nikolay initially planted Damask and a few Alba rose bushes. They also bought Referred to in Bulgaria as ‘liquid gold’, rose oil 5 second-hand equipment to create a rose “does not need to be advertised anywhere,” PLAYGROUND ENERGY SOFIA

Captivated by computer games, they spend Actually, funding is the wrong word. We are Bulgarian much less time being physically active and talking about an investment.” He goes on to say playing outside,” says Hristo. that when Eleven saw the company’s potential, it venture capital provided €220 000 in return for a 32-33 % stake. Inspired by the rocking chair idea, Hristo and funds support Ilian created Playground Energy, Hristo’s sixth “Thanks to this investment and finance from company. One of its most famous products is a smaller investor, if everything continues to good ideas an illuminated spring rider and its equipment run smoothly, we will break even, making us is currently sold across five continents: Asia, financially stable,” Hristo notes. He believes Playground Energy is a Bulgarian company Australia, Europe, North America and South Bulgaria is a perfect place for innovation and with the aim and prospects of becoming America. business because it would not be possible to achieve as much with the same amount of a global leader in the design and development of As Hristo explains, “We make playground start-up capital in Western Europe or the USA. interactive playgrounds. Founder Hristo Aleksiev products and other park equipment, such as explains that the good ideas behind the company outdoor exercise devices. What they all have Asked how he sees his relationship with Eleven, would not have stood a chance without in common is that they produce energy from Hristo replies “Extremely positively. I am not the involvement of an EU-backed risk capital fund. Hristo Aleksiev, who calls himself a serial people’s movements, which is used to generate saying this to curry favour with them. They entrepreneur, is one of the founders of light and sound. With our mobile applications, have helped us not just with money but also Walltopia, a world leader in climbing wall the equipment can measure how much with contacts, ideas and advice. They are a loyal design and construction which has received energy was used or create a game element partner.” European Union (EU) funding. But in 2012, and a virtual reality from what is otherwise a Hristo had another interesting idea. His business monotonous physical activity.” Eleven is just one EU-backed Bulgarian venture partner, industrial designer Ilian Milinov needed capital fund which invests in local start-ups. to charge his mobile phone while sitting on With regard to how he obtained funding, NEVEQ, LaunchHub Ventures, Black Peak Capital a rocking chair in a café. “If only it were possible Hristo says, “We did not apply directly to the and Empower Capital also promote innovation to use the energy generated by the rocking EU. Instead, we reached out to a Bulgarian risk and stimulate the economy with support from chair,” said Ilian, to which Hristo replied, capital fund – Eleven – which has EU funds at its EU funds. disposal. I think we are talking about “You might be onto something there.” €12 million (31 million lev), which the fund uses “That was the eureka moment. But one of the to finance start-ups. And we are one of those main reasons was the increasingly sedentary companies. We were, in fact, in the first group 7 lifestyles of European and American children. of 11 companies to receive funding. RISK CAPITAL INVESTMENT FUNDS, NATION WIDE PESHTERA, RAZGRAD SUPPORTED BY THE EU HUVEPHARMA

Venture capital funds support bold ideas Bulgaria’s Huvepharma to become global and stimulate economic growth in Bulgaria pharmaceutical leader thanks to EU support EU-backed venture capital funds have helped Investment from another of the venture capital Bulgarian pharmaceutical company Huvepharma Investment in the business unit at Biovet, a many promising Bulgarian start-ups to grow. funds, Eleven, has helped develop the start-up has received a €100 million loan under the subsidiary of Huvepharma, will enable the This has created an attractive environment Playground Energy, a company which creates Investment Plan for Europe. The loan supports company to increase its microbiological R&D for entrepreneurs and investors. innovative playgrounds that transform energy microbiological R&D, the development of new and develop new vaccines and enzymes, as well as optimising its manufacturing processes for Bank loans are not always the best way of from children’s movements into sound and light. medicinal products and the creation of 210 jobs medicinal products. financing start-ups, as a young company’s cash Eleven has also supported other start-ups such in Bulgaria. as Escreo, which develops paint that turns flow is often difficult to predict. Investments in The project also covers the design, construction walls into a canvas for drawing, and the online Focusing on medication for humans and start-ups carry a high degree of risk and mostly and management of two new production sites: food-shopping platform, farmhopping, which animals, Huvepharma is a fast-growing take the form of the buying of shares, or equity. a pharmaceutical and feed additive factory connects small farms directly with consumers. Bulgarian pharmaceutical company which has Equity investments in start-up technology in Peshtera, where active substances, food In each case, EU support came at a crucial time. successfully marketed its products in more projects have typically been rare in Bulgaria, additives, enzymes, probiotics and finished and this has become even more pronounced than 90 countries worldwide. Expansion and The funds also provide project management pharmaceuticals will be manufactured for the since the financial crisis of 2008. increased competitiveness on global markets advice, as well as access to mentors, partners and require substantial financial investment, which is purpose of improving animal and human health; To plug this gap, the European Union (EU) end users. Investment in a start-up by a venture hard to get on favourable terms. Fortunately, the and an animal vaccine factory in Razgrad. supports venture capital funds such as NEVEQ, capital fund thus plays an important role in company’s management found a solution in the As a result, 210 jobs will be created and Eleven, LauncHub, Black Peak Capital and Em- attracting further investors and customers. form of a €100 million loan under the Investment Huvepharma will continue grow. Moreover, power Capital. EU investment in these funds is Plan for Europe. as a European company operating on global significant, providing 95 % of the capital in Black Numbers of Bulgarians returning from abroad and foreigners starting businesses in the country markets, it will also look to fulfil its potential Peak and Empower, and 70 % of that in Eleven. The Investment Plan for Europe, the so-called are increasing, and an international community by establishing itself as a world leader in the Juncker Plan, aims to promote investment in job Finance from these funds is invested in shares in of entrepreneurs who share experience and pharmaceutical industry. creation and growth through more intelligent use promising companies. One example is Bee Smart help each other is developing. The environment of new and existing financial resources. The loan Technologies, which has created a remote beehive created by EU-backed venture capital funds plays to Huvepharma is guaranteed by the European monitoring system. NEVEQ provided €210 000 a part in this by showing investors that Bulgaria of the €380 000 invested in the company in its Fund for Strategic Investments, which is the offers attractive business opportunities. start-up phase. This enabled it to further develop central pillar of the Investment Plan for Europe. 9 its technology and enter international markets. SOFIA METRO SOFIA INTEGRATED WATER CYCLE GABROVO

Metro development improves Gabrovo’s water supply lives of Sofia’s residents infrastructure improved First opened in 1998, the Sofia Metro has developed Construction of line 3 began in 2016. Crossing Residents of Gabrovo in Bulgaria can now The investment was combined with other large- rapidly in recent years. The construction of lines 2 the centre, it will link the city’s north-east and boast a cleaner and more modern city. European scale public works, including the resurfacing and 3 has been made possible by EU funds. south-west, running from Botevgradsko Shose Union (EU) funding has enabled the municipal of more than 100 of the city’s streets. Daniela to Ovcha Kupel and Gorna Banya at the foot authorities to renovate most of the urban area’s Peeva, who works at a radio station and has The Sofia Metro is Bulgaria’s first and only rapid of Vitosha Mountain. There will initially be 16 water infrastructure and resurface many of its lived in the Golo Bardo district for 30 years, said transit system. The idea of building it dates back stations, but there are also plans to build a streets. people were satisfied with the outcome. “Many to the 1960s, but it didn’t start running until 1998. section branching off southwards towards the things have been accomplished in Gabrovo It is currently 40 km long and has 35 stations. Facing the challenge of replacing a district of Borovo. using EU funding: water pipes, streets and 120-kilometre-long water supply network Line 1 runs through the city centre and links pavements. Before, there were always service When completed in 2019, the metro will be running through rough terrain in a relatively two residential districts at opposite ends of disruptions and water rationing. Disruptions still able to transport more than 500 000 people a short time, the city of Gabrovo was granted Sofia: Lyulin in the west and Mladost in the occur but only in areas where the piping has not day, significantly reducing traffic volumes and financing from the EU’s Cohesion Fund, east. Line 2 links the Obelya and Lyulin districts yet been replaced,” she added. harmful emissions in Sofia. In all, 2 100 people which aims to reduce economic and social with Lozenets, the centre, Druzhba and Sofia are working on the construction of line 3. When disparities between regions. Subsequently, in A family from the district of Badzhar also International Airport. it opens, it will create 600 permanent jobs. just three years, the municipality built modern, approved of the change. “The water project is Sofia’s residents associate the metro with environmentally friendly and reliable supply very good. Our district has become nice and the Bulgaria’s EU membership. Line 2, which opened infrastructure and completely rebuilt two water water pressure is finally normal,” they said. in 2012, was co-funded by the European Union treatment plants: one for drinking water and the The project is extremely important for Gabrovo’s (EU) to the tune of €476 million. other for waste water. residents, who now have the water supply they Svetla Miteva, 55, from Mladost, uses the metro Petar Rashev, a 72-year-old resident of the deserve. It also sets a good example for future every day to get to and from her workplace Stefanovtsi district, is happy to finally have urban development initiatives. near Orlov Most in the centre. Compared with access to an efficient sewerage system. Thanks the trolleybus, which she used before the to the project, waste water from his district is metro opened, she saves time and feels more now cleaned at a treatment plant. “Nothing comfortable. “I prefer to hide in the metro beats that. Everything was done in four months,” rather than standing at the trolleybus stop he said, adding that local people had been 11 come rain, cold or shine,” she said. waiting for the system for 60 years. MODERNIZED WASTE MANAGEMENT ERASMUS+ BARCELONA (FROM BULGARIA)

A perfect example of integrated ERASMUS+ helps Boris waste management become a nuclear engineer People in the Bulgarian city of Dobrich have not landfill site could exist in harmony with the Boris Kuzmanov, a young Bulgarian from Boris added that he still found it difficult to forgotten the environmental nightmare caused by environment. Today, however, they are happy. Kozloduy, has achieved his dream of becoming meet his living expenses. However, a loan from poor waste disposal. Bins were often overflowing a highly qualified nuclear engineer thanks to a Microbank backed by the European Investment Teodora Petkova, manager of the and security guards or metal collectors would loan granted as part of an European Union (EU) Fund under the EU’s Erasmus+ programme was landfill site, confirms that the controversy has frequently burn rubbish at the old tip near the master’s degree programme. The loan was a big a big help in this regard. Under the Microbank already been forgotten. “There are no conflicts. of Bogdan. Today, with its new EU-funded help in enabling him to meet his living expenses loan programme, students receive up to To the people of Stozher, we are just another landfill site, Dobrich is an example to other cities while studying. €12 000 a year for a master’s degree and up to local employer,” she says. “Out of a total of of how to achieve efficient integrated waste €18 000 for a two-year course. No collateral is 40 people employed at the landfill site, half Raised in Kozloduy, home to Bulgaria’s first management. required from students or their parents, and the come from Stozher. There is almost no staff nuclear power station, Boris Kuzmanov showed loans are offered at a favourable interest rate In late March 2015, a landfill site was opened turnover. Most employees have been there an interest in nuclear technology from a young age. He graduated from the Technical and with the option of deferred repayment. near the village of Stozher. It will serve the from the very beginning, and they are very well University of Sofia with a bachelor’s degree “This facility had a hugely positive impact on my needs of 190 000 people from 225 settlements trained.” in nuclear engineering, before considering a life,” said Boris. in nine municipalities of the Bulgarian Petkova adds that the waste is first sorted and post-graduate qualification in the same field. of Dobrich and for 30 years. The facility The EU has been funding the Erasmus pre-processed. Subsequently, recyclable waste He looked around and decided on a master’s is part of a project entitled “Creation of a regional programme since 1987. The programme has is baled, biodegradable waste is composted and degree in nuclear energy. waste management system in the region of enabled more than 3 million European students construction waste is crushed and then used for Dobrich”. The total budget for this project is around Boris managed to get a scholarship to cover his to spend part of their course of study at another purposes such as building roads within the facility. €20 million (39 million Lev), 85 % or some tuition fees. His course involved him spending higher education institution elsewhere in Europe. €16 million (31.4 million Lev) of which was Thanks to the project, Dobrich is one of the the first year at the Polytechnic University of provided by the EU’s European Regional first areas in Bulgaria to have a landfill site that Catalonia, the second year in France and finally Development Fund. meets EU environmental standards. doing a six-month traineeship at one of the energy companies supporting his studies. When the residents of Stozher and the nearby “I really feel I am learning a lot. I also had the of Draganovo and Donchevo first found opportunity to meet many students from out about the landfill project, they staged different countries and that has definitely 13 protests. None of them imagined that a modern broadened my horizons,” he said. EVALA NATION WIDE SKATE PARK “IZGREV”

Objective assessment of Bulgaria’s coolest skate park opinion makers’ media influence becomes a street culture centre An EU-funded software platform provisionally a process similar to how the human brain Roller skaters, skateboarders and bike riders in from Bulgaria and abroad were attracted by big named EVALA will enable media outlets and creates visuals. Burgas, Bulgaria are now able to enjoy a modern prizes, the beauty of Burgas and the Bulgarian analysts to monitor the influence of opinion skate park thanks to European Union (EU) funding. coast as well as the top-quality Ontotext’s Georgi Georgiev, manager of the formers in real time using objective criteria. After its opening in the summer of 2015, the skate facilities the city offers for their sport. EVALA project, explained that the platform will This will make it possible to distinguish between park quickly became known as the coolest skating people of real influence and those who merely be deployed experimentally in several media destination in Bulgaria. Dimitar Velinov, a member of the Burgas roller appear influential. outlets, PR agencies and companies in the field skating club, said that before the skate park of media monitoring and analysis. A wide circle Skate park regulars like Ivaylo talk about bumps, opened, the only options for skaters in Burgas The 36-month EVALA project is funded by the of business organisations will also be able to use spins, rail transfers and a host of other things were a small area in front of the Pantheon (one European Commission’s Eurostars programme, it to access high-quality, real-time analyses of incomprehensible to the uninitiated who are of the city’s historical monuments) and a single which helps small and medium-sized content in Bulgarian and international media. just there to watch. Many of the skaters are ramp in the new part of the Izgrev district, enterprises to develop innovative products. virtuosos, performing manoeuvres that defy the where the skate park is now located. He added Georgiev said that, until now, assessment of the EVALA’s total budget comes to €1.4 million. laws of physics in something resembling a lunar that the specialists behind Bulgaria’s biggest extent of peoples’ influence has mainly been landscape. skate park in Dobrich had been involved in Bulgarian semantic technology company related to the media noise they manage to designing the facility. Ontotext is working on the project together make. Thanks to the platform, it will be possible The space is designed to let newcomers develop with Videntifier, an Icelandic developer of to assess influence on the basis of the actual their skills quickly and to let experts show off Backed by the EU’s European Regional solutions for identifying objects in images and impact of peoples’ statements and opinions. their tricks, but it’s often difficult to tell the two Development Fund, the skate park is part of videos, and Bulgaria’s Semantic Interactive, a groups apart. a wider regeneration plan for Izgrev. It also Ilian Uzunov, sales director at Ontotext, company specialising in knowledge extraction provides the launch pad for Burgas’ ambitions of explained that the research would enable the The park has been deemed fit to host and content aggregation. establishing itself as a centre of street culture. detection of hidden trends, factors and models, regional and international competitions. The platform will cover various types of online resulting in the identification of people of real On 11-12 August 2017, the third edition of the media, including news websites and social Burgas Skate Open – known internationally as influence. These would not necessarily be the networks. It will show results in table form ‘Sunrise’ – was held there. More than just same people who appear in the news most using new, easy-to-use web tools. This will allow a competition, the event was also a festival of frequently, he added. the software platform to display associative youth street culture with a stage, music and 15 semantic graphs on a map of objects through a party atmosphere. Leading skateboarders NA-06-17-029-EN-C NA-06-17-029-EN-N NA-06-17-029-EN-C

10.2775/0004 10.2775/84209 NA-06-17-029-EN-N doi: doi:

978-92-79-72310-0 978-92-79-72309-4

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