How we act - Arventia Group

COMBINING AN ENTREPRENEURIAL APPROACH WITH INSTITUTIONAL PRACTICES AND INFRASTRUCTURE

PARTNERSHIPS WITH ENTREPRENEURS. Our partners hold management skills and experience relevant to the companies in which we invest (though not necessarily currently employed by them). We have a history of success in partnering with entrepreneurial management teams to create long term growth and value in our companies. In succession cases, we demonstrated to be the best way to diversify the investment holding and benefit from the fulfillment of the potential created in the family business.

FLEXIBLE STRATEGY. Experience gives us access to opportunities across a range of business stages with no constrains in considering companies in different phases (expansion, mbos, underperforming, early stages, …) and industries; we adopt then most appropriate deal solutions with customized investments. Our decision process is efficient to ensure rapid and effective results.

BACKING MANAGEMENT. Our management expertise and our broad network of relevant contacts help to innovate and improve performance in most areas – particularly those where SMEs are notably weaker (i.e. operations, support in key export markets, governance, acquisition of key competitors, …). We align our objectives with those of management by means of appropriate, performance-based remuneration and equity participation. Access to several executives and non-executive professionals who served as managers and directors in our portfolio ensures support in key business areas when needed.

ACTING AS GENERAL PARTNER. We ensure clear guidance in company ownership and management through solid controlling interests. We execute both minority and majority investments, sometimes with our network of selected limited partners when our co-investors hold competence/potential to contribute specific know-how and support to our companies. We ensure management independence while lining up its interests with those of Investors. Our EVCA-code compliant governance allows priority ordered co-investment rights to our LPs, preventing potential conflict of interest.

A 5 STEPS INVESTMENT PROCESS. 1. Preliminary Understanding – management, business plan/processes and operating history (product, markets, operation, tech); 2. Letter of Intent – outlining the primary terms of the governance and the investment/purchase agreement; 3. Due Diligence – business, accounting, tax, operations, hr, insurance, environmental (if necessary), , …; 4. Contract Signing and Closing – agreement on the final terms and transaction execution/funding; 5. Management and Control – informaiton, control and decision processes in operational management and strategy stages.