We invest in rapidly growing companies that have reached an inflection point where a growth equity investment in combination with domain knowledge and active support can create significant value for all shareholders.
We believe that to be successful in adding sustainable value to our portfolio companies, we need to maintain a clear focus in a rigorous manner. We have built a deep track record that is repeatable in the following core focus areas:
Niche market leaders / hidden champions
We invest in companies that are, or have the ability to become, niche market leaders with proven and profitable business models in their core activities, and that are active in growing markets with healthy dynamics. These companies have a unique service or production model that is defendable in one of the four sectors we know well.
LOWER END TO MID-MARKET IN BENELUX AND DACH
We invest in companies that typically have a size of €25m to €250m enterprise value with sufficient room to mature and grow. We are mainly focused on growth companies with its head offices in the Benelux or DACH, but we also invest in Scandinavia, UK, France in the four sectors we know well. Our equity investments range from around €20m to €120m (with the capacity to access and deploy higher amounts).
Ability to professionalize and grow
We support our investments by providing both capital and expertise, whereby we aim to create high-performing and scalable companies as a basis to accelerate top-line growth. Examples of typical growth strategies that we have successfully supported are: (i) international expansion; (ii) buy-and-build; (iii) roll-out of a proven concept; and (iv) combinations hereof.
Partnership with management or founder
We support growth capital needs, (management) buyouts, family succession and corporate divestiture situations where we can work in partnership with strong and committed management teams and/or founder owners that have a substantial financial stake in the company. The investments include: pure growth capital (bringing new money into the company), (partially) purchasing shares from shareholders, replacing shareholders or combinations thereof whereby we are open to take minority positions (of at least 40%).
Avedon Capital Partners was founded in 2003 as part of NIBC, a merchant bank based in the Netherlands. As NIBC Capital Partners, the team invested over €250m in (among others) growth capital and managed an independent fund, Avedon I.
In 2011 the partners acquired 100% of the management company, renamed the firm to Avedon Capital Partners and raised Avedon II, with €188m of commitments.
In 2017 Avedon raised Avedon III, with over €300m of commitments provided by international institutional investors and a group of senior executives residing in our two home markets – the Netherlands and Germany.
In 2021 Avedon raised Avedon IV with over €600m of commitments provided by international institutional investors and a group of senior executives residing in our two home markets – the Netherlands and Germany.
Our commitment to sustainable growth
Sustainability and efficient growth can go hand in hand, as shown in nature by how plants such as the sunflower grow following the mathematical Fibonacci sequence. The nodes of the disc flowers are organised in Fibonacci spirals on the flower base, 34 to the left and 55 to the right, 34 and 55 being two numbers from the Fibonacci series. Each separate spiral forms the growth path of a seed ending in a thriving disc flower bud.
The sunflower displaying the Fibonacci sequence serves as a symbol for efficient sustainable growth, which is a guiding principle for Avedon, deeply anchored in our roots. Sustainable growth guiding our values, the Fibonacci-sunflower has become a symbol for Avedon’s values. These are the following:
- Think independently
Have a deep rooted desire to win and improve
- Be determined and creative
- Exceed expectations
- Develop through mentoring & training
- Innovate and be open to experiment
- Act with entrepreneurial spirit - be curious and explore
- Focus on actions with most impact
- Keep it as simple as possible, as complex as needed
- Be proactive and responsive
- Do not give up
- Start with trust
- Live meritocracy
- Be inclusive
- Rally internal and external people behind our mission
- Pursue diversity
- Be respected, accountable & trusted partners
- Speak up, but listen first
- Dare to be vulnerable
- Be mindful of lessons learned
- View constructive dissent as key to progress
- Give and seek honest feedback
- Be committed to transformation
- Be good and fair
- Be humble and nice to work with
- Be inspired and inspiring
- Respect scarcity of resources
Our commitment to sustainable value creation and social responsibility
Avedon recognizes that it operates in a complex world, where natural resource constraints, climate change and the often conflicting needs of various different stakeholders are rapidly changing the global business environment. We strive to manage these challenges actively in order to be successful over the long term.
Through the conduct of their everyday business operations, our investee companies have an impact on society and on the environment. As an investor with a long-term horizon, we believe that we can make an important contribution to the promotion of both sustainable developments and in addressing the environmental, social and governance (ESG) issues surrounding our investments. Within its sphere of influence, Avedon is committed to making a positive contribution towards a sustainable society for future generations. In addition, it is our strong belief that companies that incorporate sustainability as core part of their strategy and enforce it in their operations, create the ability to outperform and generate higher returns for all stakeholders.
We strive to be recognized for our ethical and responsible governance approach and expect our portfolio companies to adhere to high standards of business ethics and comply with all relevant laws and regulation. Avedon is a member of both Invest Europe and NVP.
We recognize that the employees are key to the long-term success of our investments and we encourage human resources practices that value and respect all employees.
We strive to reduce the environmental impact of our portfolio companies through energy efficiency and sound resource management.
ESG embedding processes
ESG risks and opportunities are identified and managed by embedding ESG considerations into each step of our investment process.
As active owners, through active dialogue we inspire and encourage the companies to make ESG a core element of their strategic goals.
We promote transparency and will inform our stakeholders on a regular basis on the relevant ESG issues of our investments and the way we have implemented our ESG Framework.
Avedon Capital Partners is signatory of the PRI, the Principles for Responsible Investment and is committed to adopt and implement PRI’s Six Principles.
The Principles for Responsible Investment were developed by an international group of institutional investors reflecting the increasing relevance of environmental, social and corporate governance issues to investment practices. The process was convened by the United Nations Secretary-General.