Mittelstand Buy-Outs in Germany

The standard buy-out model does not work well

  • Narrow focus on valuation and contract terms does not address important issues that a family owner has
  • The typical financially oriented “hotshot” dealmaker is incompatible to the vendor

Large potential for a tailormade approach

  • Private Equity could often be the optimal solution for the family owner
  • Family owners are often more open once they get to know Arcadia as a trustworthy partner that develops solutions for them
  • There are wonderful companies in this space – strong leaders in their niches with high profitability and good competitive barriers