Mid-market companies: A class of its own
Throughout Europe, mid-market companies generate more than half of the economic output and are also growth engines and innovators in many sectors. With targeted private equity strategies, we use this market for promising investments.
More than half of the total economic output of Europe is generated by companies that are not listed on stock exchange and are thus part of the private equity segment. This asset class mainly includes mid-market companies, which generally are more innovative and agile in ongoing phases of change. They consistently manage to achieve profitable growth and an attractive increase in value even when the overall economic dynamic is rather moderate.
In many cases, these mid-market companies are world leaders in niche markets and do not yet have direct peers on the capital market. This opens up interesting entry opportunities and promising long-term earnings opportunities. On the basis of our expertise, an individual strategy for increasing value is developed for each acquired company and rigorously implemented over a period of three to five years. In our view, establishing an alignment of interest is crucial in this regard. Only this alignment of all investor interests – from investors to private equity managers and the management teams of the portfolio companies – ensures a reliable implementation of proven strategies for sustained increase in value.
Based on this potential, we have been able to develop and establish itself within a decade as a globally sought-after and sustainably profitable asset class for institutional and professional investors. With total investments of more than € 400 billion per year, the sub-segment of European Mid-Market Private Equity of interest to us has an investment volume of between € 20 and € 30 billion per year.
Please note: This information is a marketing notification that has been prepared by LLB (Österreich) AG and all of its subsidiaries (LLB Invest KAG, LLB Immo KAG and LLB Realitäten KAG) exclusively for general information purposes. Publication, reproduction or disclosure of this information without approval from LLB (Österreich) AG and its subsidiaries is prohibited. It was not prepared in compliance with the legal provisions on promoting the independence of financial analyses and is not subject to the trading ban following the distribution of financial analyses. This document constitutes no financial analyses, no investment recommendation and no investment advice. It contains neither an offer to conclude a contract on an investment service or ancillary service nor a request to make an offer to conclude a contract on an investment service or ancillary service or to carry out other transactions. To the extent that this notification refers to products for which a prospectus must be published as prescribed by capital market law regulations, this information in no way replaces the prospectus, which is published by the relevant issuer.
Every capital investment involves a risk. In some circumstances it may lead to a total loss of the capital employed. Performance in the past does not promise future returns. As not every transaction is suitable for every investor, investors should consult their own advisors for financial, legal, tax or other questions (including, but not limited to legal or tax counsel).