FAQ

Under which circumstances does Gilde get involved in a company?

All companies in our portfolio target growth, and our objective is to facilitate this growth. This was often not possible under the pre-buy-out shareholding structure. Our ambition is to unlock and maximize the potential of the companies we're involved in.

Management buy-out opportunities usually occur when a (parent) company decides to dispose of non-core activities, when a family-owned business faces a succession hurdle, or when a management team acquires and expands the company it works for as an independent entity (secondary buy-out).

What about your values?

We have a passion for our work and are genuinely involved in the companies in our portfolio. All companies in our portfolio target growth. Our objective is to facilitate this growth. This was often not possible under the pre-buyout shareholder structure. Our ambition is to unlock and maximize the potential of the companies we're involved in.

What to expect from a partnership with Gilde?

Gilde is owned by its partners. In practice, this ensures parallel interests. We are dedicated and reliable business partners, in good times and in bad. Feel free to contact us for an introductory meeting.

What are your investment criteria?

We invest in solid, profitable companies run by motivated and experienced managers. Our business model targets close cooperation with the management teams of the companies we invest in. We enable management to acquire and expand the organizations they work for. A shared strategic vision based on personal chemistry between the management team and ourselves is also of critical importance.

What is your business model?

Our key objective is to improve a company's profits, primarily by increasing turnover and improving margins. More than 50% of our return is generated from improvements in earnings, which we secure by maximising a company’s potential. We also review a company’s strategic profile, and make changes where necessary. Such improvements boost the strategic value of the company in question. This means we can often command a higher multiple when disposing of the company. Such increase represents approximately 30% of our return. The remaining 20% is attributable to a reduction in debt. Although we partly finance our acquisitions with debt, the funding is structured in a way that benefits the company in question as well as our shared growth objectives.

Are you successful?

Our results speak for themselves. On average, our investments have generated an annual EBITDA growth of more than 10%. Our investors are also content – in spite of difficult economic conditions, we have generated steady returns since 1996. We are committed to also realise these solid returns going forward. And we are committed to repeating these historic results in the future.

The strength of our company and the trust of our investors have been highlighted once more in 2014 when we raised a new investment fund in less than two months, in spite of difficult market conditions. And yes, that makes us proud!

Do you use debt financing?

Yes we do. Gilde uses debt financing prudently. We structure our investments in a way that benefits the company as well as our shared growth objectives. After all, our return is primarily defined by the growth we can achieve.

Are there more than one Gilde companies?

Yes. There are three Gilde companies that operate independently of each other: Gilde Equity Management, Gilde Healthcare and Gilde Buyout. All three companies use the Gilde brand, reflecting their shared history, which dates back to 1982. The funds were established as separate entities in 1996, and each fund has its own strategy and focus area.

Gilde Equity Management Benelux focuses on the mid-market segment in the Benelux. The average transaction size varies between € 20 milion and € 200 million euro.

 

How do the various Gilde companies differ from each other?

As its name suggests, Gilde Equity Management Benelux focuses exclusively on the Benelux, and the mid-market segment in particular. This has been our consistent focus since the mid 90s. We invest in management buy-outs with a value of between € 20 million and € 200 million.

Gilde Healthcare is specialist investment firm with funds dedicated to innovative therapeutic and medical technology companies in Europe and United States and healthcare service companies in the Benelux. Gilde Buyout Partners focuses on buy-out transactions in continental Europe with a transaction size of up to € 600 million.

What do the Gilde companies have in common?

We share the same Gilde name. That's because we share the same history, which dates back to 1982. Gilde was one of the first private equity firms in the Netherlands. The funds were established as separate entities in 1996, and each fund has its own strategy and focus area. Gilde Equity Management Benelux focuses on the Benelux mid-market segment. The average transaction size varies between 20 million and 200 million euro.