Investment strategy

Disciplined and deep value investment approach in majority/controlling minority equity stakes in pan-European medium-sized companies with an equity ticket size €10 - 50m

DVC Partners’ 4-pillar investment strategy generates consistent deal flow across cycles and optimizes risk mitigation.

Unsustainable Capital Structure

  • Relaunching good businesses with temporary financial challenges
  • At least 1/3 of invested capital in the form of capital increase to lower net debt and benefit from write-offs

P&L and FCF Underperformance

  • Transforming business models into being more sustainable and performing
  • Clear focus on finding the right balance between high margins and positive FCF generation

Structural Changes

  • Complex carve-outs of underperforming and / or non-core assets
  • Strategy shifts causing misalignment of shareholder’s interests

Broad Market Dislocations

  • Market dynamics exposing companies to financial distress, declining markets, or profitability issues
  • Perceived sector cyclicality creates “spill-over” to sub-segments which are less susceptible to cycles

Value Add Section

TARGET IDENTIFICATION

Using our vast network and reputation to find the best targets.

Our average annual deal flow has been 370 opportunities in our core regions over the last decade.

DEAL NEGOTIATION

Our extensive experience allows us to create value on the buy by offering good solutions in complex situations.

Management of risk through staggered capital injections over time based on key milestones.

DELIVERING UPSIDE

Our operational and transactional know-how helps to grow the target significantly.

Hands-on approach focused on unlocking value and improving profitability.

EXIT

Identification and evaluation of exit strategies: IPO, strategic buyer, secondary sale, management buy-out.

Developing equity story.

Milan

Via dell’Annunciata, 27
20121, Milan, Italy
Tel: +39 0283 620 050

Luxembourg

34, rue Michel Rodange
L-2430, Luxembourg
Tel: +35 227 69 47 00

Madrid

Calle Almagro 3, 5 izq.
28010 Madrid, Spain
Tel: +34 91 2900 013

Brussels

Avenue Louise 54,
Brussels, Belgium
Tel: +32 2 895 60 62