Contract notice
Section I: Contracting
authority
I.1) Name and addresses
British Business Financial Services Limited
Sheffield
UK
Contact person: Pete Binkiewicz
E-mail: Pete.Binkiewicz@British-business-bank.co.uk
NUTS: UK
Internet address(es)
Main address: http://british-business-bank.co.uk
I.2) Joint procurement
The contract is awarded by a central purchasing body
I.3) Communication
The procurement documents are available for unrestricted and full direct access, free of charge at:
http://www.delta-esourcing.com/tenders/UK-UK-Sheffield:-Financial-and-insurance-services./78MJK9SF89
Additional information can be obtained from the abovementioned address
Tenders or requests to participate must be sent to the abovementioned address
I.4) Type of the contracting authority
Body governed by public law
I.5) Main activity
Economic and financial affairs
Section II: Object
II.1) Scope of the procurement
II.1.1) Title
Framework Agreements for Fund Management Incorporating the Northern Powerhouse Investment Fund.
II.1.2) Main CPV code
66000000
II.1.3) Type of contract
Services
II.1.4) Short description
BBB is conducting this procurement to establish frameworks of fund managers for:
Lot 1 — equity funds where the authority is looking to commit between 100 000 000 GBP and 400 000 000 GBP across a number of funds;
Lot 2 — debt funds where the authority is looking to commit between 100 000 000 GBP and 400 000 000 GBP across a number of funds; and
Lot 3 — micro-finance funds where the authority is looking to commit between 20 000 000 GBP and 80 000 000 GBP across a number of funds.
It is anticipated that the 1st fund which will call-off under the Framework Agreement by way of Mini-Competitions will be Northern Powerhouse Investment Fund (‘NPIF’), which is a fund of over 400 000 000 GBP to invest in smaller businesses and is subject to European funding. However the scope of the Framework extends to other funds which may be identified during the period of the Framework in the NPIF Area (including funds currently or previously operating as well as any new funds that become available).
II.1.5) Estimated total value
Value excluding VAT:
19 600 000.00
GBP
II.1.6) Information about lots
This contract is divided into lots:
Yes
Tenders may be submitted for all lots
II.2) Description
Lot No: 1
II.2.1) Title
Equity
II.2.2) Additional CPV code(s)
66000000
66100000
66120000
66122000
66190000
II.2.3) Place of performance
NUTS code:
UKE
UKD
UKC
Main site or place of performance:
Yorkshire and The Humber, North West (England), North East (England).
II.2.4) Description of the procurement
Equity funds where the authority is looking to commit between 100 000 000 GBP and 400 000 000 GBP across a number of funds. Each equity investment must be an investment in an SME in the NPIF Area and be an investment in a range size of 50 000 GBP to 2 000 000 GBP (unless otherwise agreed).
General requirements applicable to all Lots including without limit:
1. Operating 1 or more funds in accordance with the terms of the relevant fund management agreement;
2. Identifying SMEs which are eligible for investment in accordance with the rules of the particular fund, conducting appropriate commercial and technical due diligence and structuring deals;
3. Generating deal flow and working with investee companies in the NPIF Area before and after concluding investments;
4. Concluding equity, debt and micro-finance investments (as appropriate to the Fund's investment type), in eligible SMEs in the NPIF Area and in accordance with EC State aid law and all other laws;
5. Maximising, where appropriate, the additional investment made by private sector co-investors into investee companies;
6. Managing the investment portfolio to add value to investee companies and achieve profitable exits for the fund;
7. Managing the investment fund so as to maximise the returns to the investors/legacy fund while minimising the operational costs and the costs to investee companies and whilst delivering the Targets;
8. Monitoring the investment portfolio and providing regular reports on investment activity, fund performance and related outputs to the Authority (and where applicable the relevant Other Contracting Authority); and
9. Marketing the investment fund to the appropriate market sectors and professional services intermediaries and developing, maintaining and exploiting networks in relevant communities and markets relevant to the investment funds.
The figure in II.2.6) is the lowest estimated fee based on the bottom end of the fund size in II.1.4) for this Lot. The actual fee range will be based on bidder's proposals as percentages against the fund size in II.1.4) for this Lot.
II.2.5) Award criteria
Price is not the only award criterion and all criteria are stated only in the procurement documents
II.2.6) Estimated value
Value excluding VAT:
10 000 000.00
GBP
II.2.7) Duration of the contract, framework agreement or dynamic purchasing system
Duration in months: 48
This contract is subject to renewal: No
II.2.9) Information about the limits on the number of candidates to be invited
II.2.10) Information about variants
Variants will be accepted:
No
II.2.11) Information about options
Options:
No
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
Yes
Identification of the project:
Part funded by the European Regional Development Agency and the European Investment Bank.
II.2.14) Additional information
This lot is for a Framework Agreement with an envisaged maximum of 5 suppliers. The Framework Agreements will have a term of 4 years and call-off contracts under the Framework will generally have a term of 5 years for the investment phase and 5 years for the realisation phase. The Authority will have the discretion to extend either or both of these phases for a further 2 years.
Lot No: 2
II.2.1) Title
Debt
II.2.2) Additional CPV code(s)
66000000
66100000
66120000
66122000
66190000
II.2.3) Place of performance
NUTS code:
UKE
UKD
UKC
Main site or place of performance:
Yorkshire and The Humber, North West (England), North East (England).
II.2.4) Description of the procurement
Debt funds where the authority is looking to commit between 100 000 000 GBP and 400 000 000 GBP across a number of funds. Each loan must be a loan to an SME in the NPIF Area and be a loan in a range size of 100 000 GBP to 750 000 GBP (unless otherwise agreed).
General requirements applicable to all Lots including without limit:
1. Operating 1 or more funds in accordance with the terms of the relevant fund management agreement;
2. Identifying SMEs which are eligible for investment in accordance with the rules of the particular fund, conducting appropriate commercial and technical due diligence and structuring deals;
3. Generating deal flow and working with investee companies in the NPIF Area before and after concluding investments;
4. Concluding equity, debt and micro-finance investments (as appropriate to the Fund's investment type), in eligible SMEs in the NPIF Area and in accordance with EC State aid law and all other laws;
5. Maximising, where appropriate, the additional investment made by private sector co-investors into investee companies;
6. Managing the investment portfolio to add value to investee companies and achieve profitable exits for the fund;
7. Managing the investment fund so as to maximise the returns to the investors/legacy fund while minimising the operational costs and the costs to investee companies and whilst delivering the Targets;
8. Monitoring the investment portfolio and providing regular reports on investment activity, fund performance and related outputs to the Authority (and where applicable the relevant Other Contracting Authority); and
9. Marketing the investment fund to the appropriate market sectors and professional services intermediaries and developing, maintaining and exploiting networks in relevant communities and markets relevant to the investment funds.
The figure in II.2.6) is the lowest estimated fee based on the bottom end of the fund size in II.1.4) for this Lot. The actual fee range will be based on bidder's proposals as percentages against the fund size in II.1.4) for this Lot.
II.2.5) Award criteria
Price is not the only award criterion and all criteria are stated only in the procurement documents
II.2.6) Estimated value
Value excluding VAT:
8 000 000.00
GBP
II.2.7) Duration of the contract, framework agreement or dynamic purchasing system
Duration in months: 48
This contract is subject to renewal: No
II.2.9) Information about the limits on the number of candidates to be invited
II.2.10) Information about variants
Variants will be accepted:
No
II.2.11) Information about options
Options:
No
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
Yes
Identification of the project:
Part-funded by the European Regional Development Agency and the European Investment Bank.
II.2.14) Additional information
This lot is for a Framework Agreement with an envisaged maximum of 5 suppliers. The Framework Agreements will have a term of 4 years and call-off contracts under the Framework will generally have a term of 5 years for the investment phase and 3 years for the realisation phase. The Authority will have the discretion to extend either or both of these phases for a further 2 years.
Lot No: 3
II.2.1) Title
Micro-finance
II.2.2) Additional CPV code(s)
66000000
66100000
66120000
66122000
66190000
II.2.3) Place of performance
NUTS code:
UKE
UKD
UKC
Main site or place of performance:
Yorkshire and The Humber, North West (England), North East (England).
II.2.4) Description of the procurement
Micro-finance funds where the authority is looking to commit between 20 000 000 GBP and 80 000 000 GBP across a number of funds. Each micro-finance loan must be a loan to an SME in the NPIF Area and be a loan in a range size of 25 000 GBP to 100 000 GBP (unless otherwise agreed).
General requirements applicable to all Lots including without limit:
1. Operating 1 or more funds in accordance with the terms of the relevant fund management agreement;
2. Identifying SMEs which are eligible for investment in accordance with the rules of the particular fund, conducting appropriate commercial and technical due diligence and structuring deals;
3. Generating deal flow and working with investee companies in the NPIF Area before and after concluding investments;
4. Concluding equity, debt and micro-finance investments (as appropriate to the Fund's investment type), in eligible SMEs in the NPIF Area and in accordance with EC State aid law and all other laws;
5. Maximising, where appropriate, the additional investment made by private sector co-investors into investee companies;
6. Managing the investment portfolio to add value to investee companies and achieve profitable exits for the fund;
7. Managing the investment fund so as to maximise the returns to the investors/legacy fund while minimising the operational costs and the costs to investee companies and whilst delivering the Targets;
8. Monitoring the investment portfolio and providing regular reports on investment activity, fund performance and related outputs to the Authority (and where applicable the relevant Other Contracting Authority); and
9. Marketing the investment fund to the appropriate market sectors and professional services intermediaries and developing, maintaining and exploiting networks in relevant communities and markets relevant to the investment funds.
The figure in II.2.6) is the lowest estimated fee based on the bottom end of the fund size in II.1.4) for this Lot. The actual fee range will be based on bidder's proposals as percentages against the fund size in II.1.4) for this Lot.
II.2.5) Award criteria
Price is not the only award criterion and all criteria are stated only in the procurement documents
II.2.6) Estimated value
Value excluding VAT:
1 600 000.00
GBP
II.2.7) Duration of the contract, framework agreement or dynamic purchasing system
Duration in months: 48
This contract is subject to renewal: No
II.2.9) Information about the limits on the number of candidates to be invited
II.2.10) Information about variants
Variants will be accepted:
No
II.2.11) Information about options
Options:
No
II.2.13) Information about European Union funds
The procurement is related to a project and/or programme financed by European Union funds:
Yes
Identification of the project:
Part-funded by the European Regional Development Agency and the European Investment Bank.
II.2.14) Additional information
This lot is for a Framework Agreement with an envisaged maximum of 5 suppliers. The Framework Agreements will have a term of 4 years and call-off contracts under the Framework will generally have a term of 5 years for the investment phase and 3 years for the realisation phase. The Authority will have the discretion to extend either or both of these phases for a further 2 years.
Section III: Legal, economic, financial and technical information
III.1) Conditions for participation
III.1.1) Suitability to pursue the professional activity, including requirements relating to enrolment on professional or trade registers
List and brief description of conditions:
Tenderers must be authorised by the Financial Conduct Authority as a full-scope UK AIFM or a small authorised UK AIFM; or be a full scope EEA AIFM (as each of those terms is defined in the Alternative Investment Fund Managers Regulations 2013 (SI 2013/1773). If not, Tenderers will be required to confirm that they will have the relevant authorisations before bidding under a mini-competition. Please see the ITT for more information and in particular regarding relying on a regulatory hosting or umbrella organisation for the authorisation.
III.1.2) Economic and financial standing
Selection criteria as stated in the procurement documents
III.1.3) Technical and professional ability
Selection criteria as stated in the procurement documents
III.2) Conditions related to the contract
III.2.2) Contract performance conditions
Please see the ITT for more information.
III.2.3) Information about staff responsible for the performance of the contract
Obligation to indicate the names and professional qualifications of the staff assigned to performing the contract
Section IV: Procedure
IV.1) Description
IV.1.1) Type of procedure
Open procedure
IV.1.3) Information about a framework agreement or a dynamic purchasing system
The procurement involves the establishment of a framework agreement with several operators.
IV.1.8) Information about Government Procurement Agreement (GPA)
The procurement is covered by the Government Procurement Agreement:
Yes
IV.2) Administrative information
IV.2.2) Time limit for receipt of tenders or requests to participate
Date:
10/06/2016
Local time: 13:00
IV.2.4) Languages in which tenders or requests to participate may be submitted
EN
IV.2.7) Conditions for opening of tenders
Date:
10/06/2016
Local time: 15:00
Section VI: Complementary information
VI.1) Information about recurrence
This is a recurrent procurement:
No
VI.2) Information about electronic workflows
Electronic payment will be used
VI.3) Additional information
The contracting authority considers that this contract may be suitable for economic operators that are small or medium enterprises (SMEs). However, any selection of tenderers will be based solely on the criteria set out for the procurement. British Business Bank (BBB) is the United Kingdom's government-owned economic development bank that makes finance markets for smaller businesses work more effectively, allowing those businesses to prosper, grow and build UK economic activity. The BBB group manages and invests in access to finance programmes for smaller businesses within a single commercially-minded institution. The Authority is a wholly owned subsidiary of BBB and its purpose is to manage certain schemes for BIS, including NPIF.
The Authority are purchasing the fund management services on behalf of:
(a) Itself;
(b) British Business Bank PLC and any members of its group (within the meaning of the Companies Act 2006);
(c) Northern Powerhouse Investments Limited; and
(d) Department of Business, Innovation and Skills, and any entity owned or controlled by it.
The Authority will hold 2 bidder days on 12.5.2016 in Manchester and 13.5.2016 in Leeds for the purposes of presenting the opportunity under the ITT to Tenderers. Tenderers are permitted to send up to 2 representatives to attend a bidder day and may attend only 1 bidder day. Please see the ITT for further information.
Candidates wishing to apply for the contract opportunity must complete and submit its tender as set out in the procurement documents before the closing date set out in Section IV.2.2)
The procurement documents have been made available at: www.delta-esourcing.com
The Framework Agreements will have a term of 4 years and call-off contracts under the Framework will generally have a term of 5 years for the investment phase and 5 years (or 3 years for Lots 2 and 3) for the realisation phase. The Authority will have the discretion to extend either or both of these phases for a further 2 years (which would enable a maximum total contract length of 12 years (Lots 2 and 3) or 14 years (Lot 1)). In Section II.1.5) the lowest estimated value is stated — the value range across all the Lots for this Framework will be based on bidder's proposals as percentages against all of the funds specified in II.1.4)
Submitting a response to this notice does not guarantee that a candidate will be invited to tender. The Authority may terminate or suspend the award process at any time without incurring any cost or liability. The Authority does not bind itself to enter into any contract arising out of the procedures envisaged by this notice. No contractual rights expressed or implied arise out of this notice or the procedures envisaged by it. The Authority will not be liable in any way to any candidate or tenderer for any costs incurred in connection with this procurement process. The Authority reserves the right to disqualify any candidate who provides information or confirmations which later prove to be untrue or incorrect; does not supply the information required by this notice or by the procurement documents or as otherwise directed by the Authority during the procurement process; or fulfils any 1 or more of the criteria stated procurement documents (including Regulation 57 of the Public Contracts Regulations 2015).
A tenderer will be required to agree to be audited by the UK audit bodies, the European Commission and the European Court of Auditors along with the funders and their auditors.
For more information about this opportunity, please visit the Delta eSourcing portal at: https://www.delta-esourcing.com/tenders/UK-UK-Sheffield:-Financial-and-insurance-services./78MJK9SF89
To respond to this opportunity, please click here: https://www.delta-esourcing.com/respond/78MJK9SF89
GO Reference: GO-2016429-PRO-8139531.
VI.4) Procedures for review
VI.4.1) Review body
The High Court of England and Wales
London
UK
VI.4.2) Body responsible for mediation procedures
British Business Bank
Foundry House, 3 Millsands
Sheffield
S3 8NH
UK
VI.5) Date of dispatch of this notice
29/04/2016