Avedon Capital Partners creates the DELABO Group, a leading dental lab platform for further buy and build

Appenweier/Bremen/Remscheid/Düsseldorf/Amsterdam, October 30st, 2019

Avedon Capital Partners (“Avedon”) teams up with the founders of Maxident GmbH, Crossmill GmbH (“together Maxident”), Hamm Dental GmbH (“Hamm”) and B u. T Dentaltechnik GmbH (“BuT”), to found the DELABO Group. The combination of these three independent German dental laboratories with complementary technical and operational capabilities will form the nucleus for a buy & build strategy to drive consolidation in the fragmented German dental laboratories market. The transaction successfully closed on September 16th, 2019. The parties agreed not to disclose the purchase price or further details of the transaction.

The newly founded DELABO Group will offer a comprehensive portfolio of domestically produced dental prosthetics across all relevant price/quality combinations. This includes high volume products manufactured via automated processes and finished with traditional crafts-based manufacturing, as well as high-end and medically advanced, manually produced prosthetics. Both supported by oral implantology planning and supportive diagnostic services. With about 115 employees across 4 locations the combination is already from the start one of the largest dental lab groups in Germany. Investments into technology and the harmonization of production process, a shared organizational set-up as well as in strategic sales and marketing initiatives are planned.

The selling shareholders have been reinvesting a meaningful portion of their respective sales proceeds into DELABO Group. All will contribute their operational expertise actively within the group going forward. This shows the commitment to the partnership amongst existing and future dental laboratories under the DELABO Group umbrella. The management of the Holding comprises of two senior and experienced buy & build managers. Thomas Dold (CEO) and Markus Dreihues (CFO) have worked on multiple previous assignments for private equity that focused on industry consolidation in partnership with entrepreneurs.

Alexis Weege, Investment Director at Avedon:
“The foundation of DELABO Group is a compelling investment opportunity within a lesser regulated niche of the stable and non-cyclical dental healthcare market. Currently, more than 8,000 commercial dental labs operate in the German dental prosthetics market, most of which are owner-managed, regionally manifested. Especially the mid-to-small sized are struggling with changing market-requirements, which Avedon in partnership with lab owners is addressing via the newly founded DELABO Group.”

Thomas Dold, CEO DELABO Group:
“The most noticeable challenges for individual owner-managed dental labs are the transition from crafts-based to automation-based production, increased demand for value prosthetics, competition from import labs, the shortage of skilled employees, and ultimately missing succession solutions. The Group, as a dental lab platform, will be able to offer current owner-managed labs appealing solutions to these changes. By becoming part of the commercially, technologically and financially advanced DELABO Group, a unique opportunity for lab owners to participate in the envisaged growth trajectory is available.”

About the DELABO Group
DELABO Group belongs to the ten largest dental laboratories in Germany, ranked by annual revenue. The value proposition of the group is based on its comprehensive product offering, which comprises all medically relevant price-quality product combinations as well as a broad range of supportive services for dentists and patients. Despite acting as a nation-wide dental labs platform, the Group will emphasize the regional character of the dental prosthetics business by leveraging the respective brand heritage as well as the local presence of each member lab. Member labs are supported in terms of administrative activities, operational investments, recruitment of skilled labor force and the exploration of different growth avenues. Additionally, the Group seeks to extend its geographical coverage as well as its regional presence by pursuing multiple further acquisitions of dental labs in the upcoming years.

About Avedon Capital Partners
Avedon Capital Partners is a leading private equity investor in small to medium-sized companies in the Benelux and Germany. Avedon invests in companies with strong founders / owners and management teams that have distinctive and ambitious growth plans.

The Avedon team is based in Amsterdam and Düsseldorf and manages over € 500 million in capital. Avedon seeks opportunities in niches in four sectors: i) Software & Technology; ii) Business services; iii) Industry & Engineering; and iv) Consumer products & Leisure.

Over the years, the team has supported 27 growing companies in strategic (re)positioning, revenue growth, human capital and operational improvements. Avedon has a very strong track record when it comes to supporting growth.

For more information, visit: www.avedoncapital.com ; www.DELABO.com

For further inquiries, please contact:

Avedon Capital Partners:
Alexis Weege, Investment Director, alexis.weege@avedoncapital.com, + 49 211 5988 906
Philip Fischer, Investment Manager, philip.fischer@avedoncapital.com, + 49 211 5988 903
Leo Hartwich, Analyst, leo.hartwich@avedoncapital.com, +49 211 5988 902

DELABO Group:
Thomas Dold, CEO DELABO Group, thomas.dold@delabo.group, +49 173 2502853
Markus Dreihues, CFO DELABO Group, markus.dreihues@delabo.group, +49 151 52741001