Systems Solutions

Industry - Electronics & Electric Equipment, Machinery, Tools & Equipment, Transport & Components
Position - Buy Side
Geographic Area - Asia, Central Europe, East Europe, North America, North Europe, South Europe
Sale Range - < 10 millions, 10-50 millions

Acquisition Criteria:

The wanted company is active in Systems Solutions: Construction Materials, Equipment & Instruments; Electronic Components Contract Manufacturing; Environmental Technology, Technology for energy optimization, Waste handling, and recycling equipment; Solutions that can be used in practically all European-made light commercial vehicles; Forest Systems Solutions, Sawmill equipment.

The target must be a focused market leader in a specific niche; An attractive position in the value chain, without significant dependency on particular suppliers or customers; Limited or no exposure to technological risks. Moderate market developments; Ebit margin must be at least >€ 2 Mio and over €2Mio >15%. No venture cases or restructuring will be evaluated, and it prefers to buy directly from the founder/owner. Furthermore, it should be a niche B2B product company (it is not an expert for service businesses) without a project character.

May decide to make an acquisition even where all criteria have not been met if the company offers strategically or financially attractive opportunities.

The equity ticket depends on the quality of earnings of the target. The proposed deal is a Share Deal on the Majority with a long put & call option.

 

The Buyer is an European-based investment company (Revenues ’23 at €1.9 billion). It is engaged in the acquisition and development of niche companies. It aims to secure the improvement of subsidiaries’ earnings and to deliver cash flows. It has long-term investment holdings, a focus on profitability, and a decentralized organization. The Company is active in three operating segments.

The buyer has a Long-term investment profile with no time limits connected to holdings. Its subsidiaries have a high degree of independence. That is the foundation for the creation of an entrepreneurial spirit. The business stays independent and local. All decisions are taken at the local management level, with No forced synergies or integration. The Buyer has never moved a business. The target could have possible synergies thanks to the existing network of its owned companies and others.