LBO small cap

Our Small Cap Buyout  and Expansion Capital business is aimed at companies seeking a moderate level of finance to pursue growth or whose capital is being restructured. These are often family-owned companies, who are expanding internationally for whom the relationship with the CEO is all important.

Approach

• Small Cap Buyout
  We take controlling interests in companies valued at less than €100m. We then launch a major drive to add value and boost growth in these companies led by our local staff in Germany, Italy and all countries with a local office, as well as in France.
• Expansion Capital
  Investment via minority interests, which are protected by shareholders pacts, liquidity commitment etc, in mature and profitable companies. The deals may involve us committing up to €40m per transaction (and up to €100m with co-investors). To a limited extent, we invest in listed companies on secondary markets such as the Second Marché and the Nouveau Marché.

Criteria

• Leadership in the company’s domestic market or real potential to be leader.
• High skills of the management team.
• Strong desire for Co-Investment by local management to incentivize them in the results and liquidity objectives of the equity.
• Ability to invest up to €40m per transaction.
• No sector preference excluding real estate, financial services and so-called sensitive sectors not covered by AXA Private Equity pursuant to our Socially Responsible Investor commitments such as defence, tobacco etc.
• Clearly defined objective for the fund to pull out within an average period of five years, established in agreement with the local management.

Geographical sectors

• France, Germany and Italy