Uncertain times are new, unique opportunities for your potential life deal. Take advantage of our extensive experience – we have been investing together with managers for over 25 years.
From manager to co-owner
Ownership changes can be an opportunity for you to become a co-owner of the company and have a real impact on the acquisition process itself and the strategy of your company. Of course, this also means that you can earn significant amounts of money if the company’s value increases. We appreciate those people who come to us with a good business idea. We implement these projects together – on a partnership basis.
Why with us?
We offer you not only financial but also substantive support if you can see opportunities for ownership changes in your company. With our help, it will be easier for you to negotiate things with the concern and go through the buyout process. Besides, after the transaction, we guarantee support in consistent implementation of the chosen development strategy.
Our principles are simple: as a fund, we trust your company, we allow it to develop, and we want to invest in it. Efficient and based on mutual trust cooperation of your management group with us is the key to a successful transaction.
Why don’t you gain control and become the owner of the company you have been working for successfully for years. Speed up its growth trajectory by working for yourself.
Our management group, in cooperation with Avallon MBO, took matters in their own hands too carry it out.
In 2013, Avallon MBO acquired Velvet Care with the support of the company’s managers from the Kimberly-Clark concern. In 2018, the company was sold. At present, the main owner of Velvet Care is Abris Capital Partners.
What advice can you give to other managers who are considering undertaking similar steps for their companies? Is now the right time to do it?
The crisis has two faces – good and bad. This is a time of very difficult decisions in private life and in business. But the world belongs to the wise and brave. You just have to keep your eyes and ears open and look for opportunities or create such opportunities yourselves. The momentum that everyone had in times of prosperity has slowed down. The moment of truth has come, and for some companies it means the time of restructuring. This may be an opportunity for resourceful managers to take over their companies and cooperate with private equity funds.
Why did you decide to start cooperation with the Avallon MBO fund?
It was important for us to find an investor who would not only enter with the capital, but also be a partner for us during the development of further business after the transaction. From our point of view, Avallon turned out to be an ideal investor who believes in the company, allows it to develop and it is willing to invest in it. Apart from putting the money up for the transaction, Avallon was very supportive of the management group during the lengthy negotiation and transaction process.
What effects did the cooperation bring?
The finalization of the transaction was just a prelude. The next part, i.e., the development of the company, was much more important. And here, again, the cooperation with Avallon MBO was very good. The turnover increased from PLN 230 million in 2014 to over PLN 400 million in the years 2014-2017. Employment increased from 320 people to 530. We doubled our production capacity. We purchased 5 ultra-modern processing machines and built a new warehouse. We built one of the largest investments in the history of this company – a paper machine. In 6 years, we managed to invest much more than two renowned American corporations did in 17 years.
How to best choose partners and a team for such projects?
The right partners – the management group and the fund – are the second pillar of the company’s success, after its strategy. What counts here are common goals, motivation and a sense of responsibility for the implementation of those goals. It is important that managers have knowledge of many areas of business and form a diverse management group that guarantees safety. You can go far only by cooperating closely.