Carve-out specialist Hypax: capital commitments of € 120 million

Berlin/London — Hypax, the invest­ment company specia­li­zing in group carve-outs, has successfully raised capi­tal commit­ments of EUR 120 million for Euro­pean Invest­ment Deve­lo­p­ment GmbH und Co KG (“EID”). EID is an ever­green invest­ment struc­ture that provi­des long-term capi­tal for above-average invest­ment horizons. 

Hypax targets the acqui­si­tion of compa­nies with reve­nues of EUR 20 to 200 million and below-average profi­ta­bi­lity (“stres­sed” and profi­ta­ble “under­per­for­mers”) based in Europe, parti­cu­larly in Germany and the UK. Hypax can invest up to EUR 30 million per tran­sac­tion and, thanks to its ever­green struc­ture, provide long-term capi­tal for holi­stic trans­for­ma­tion proces­ses and longer holding peri­ods. This gives compa­nies the time and support they need to realize their full potential. 

This is in line with Hypa­x’s specia­liza­tion in corpo­rate carve-outs of medium-sized parts of corpo­rate groups and its focus on incre­asing opera­tio­nal value through growth and lever­aging opera­tio­nal impro­ve­ment poten­tial. In addi­tion to capi­tal, Hypax concen­tra­tes on provi­ding opera­tio­nal support. Follo­wing the carve-out, Hypax works closely with the manage­ment teams of the port­fo­lio compa­nies to realize the full poten­tial along levers such as opera­tio­nal excel­lence, digi­tal trans­for­ma­tion, stra­te­gic deve­lo­p­ment and the realiza­tion of add-on acquisitions. 

As a situa­tion specia­list, Hypax invests in a wide range of sectors, inclu­ding consu­mer goods, indus­trial goods, services and TMT.

Dr. Chris­tian Schmehl, Mana­ging Part­ner of Hypax, says: “We are grateful for the trust of our inves­tors. The capi­tal commit­ments we have recei­ved under­line our track record and the attrac­ti­ve­ness of the market oppor­tu­ni­ties. Thanks to our exten­sive opera­tio­nal exper­tise and our expe­ri­ence with complex carve-out tran­sac­tions, we are ideally posi­tio­ned to unlock value and drive sustainable growth in our port­fo­lio. We look forward to working with the manage­ment teams to create value in this unique market segment.”

Phil­ipp Ster­kel, Mana­ging Part­ner of Hypax, adds: “We see a wealth of attrac­tive invest­ment oppor­tu­ni­ties in our target market. As larger compa­nies and groups are incre­asingly shar­pe­ning their stra­te­gic profile and ratio­na­li­zing their group struc­tures, we are seeing more and more carve-outs. As a “non-core busi­ness”, the affec­ted parts of the company often have an expan­da­ble entre­pre­neu­rial basis and are also charac­te­ri­zed by considera­ble untap­ped poten­tial. The current highly vola­tile macroe­co­no­mic envi­ron­ment as well as chan­ging frame­work condi­ti­ons and shif­ting stra­te­gic prio­ri­ties — often in conjunc­tion with pres­sure from owners to change — are leading to exci­ting invest­ment oppor­tu­ni­ties for us.” 

Hypax was foun­ded in 2023 and previously worked with a “deal-by-deal” syndi­ca­tion approach.

About Hypax

Hypax is a Berlin and London based invest­ment firm specia­li­zing in corpo­rate carve-outs and mid-market compa­nies where value can be enhan­ced through growth and opera­tio­nal impro­ve­ments. The funds mana­ged by Hypax have capi­tal commit­ments of €120 million. With a strong opera­tio­nal focus, Hypax supports compa­nies and their manage­ment teams in over­co­ming peri­ods of uphe­aval and accom­pa­nies stra­te­gic trans­for­ma­ti­ons. The mana­ging part­ners Phil­ipp Ster­kel and Dr. Chris­tian Schmehl have more than 25 years of expe­ri­ence in the imple­men­ta­tion of complex carve-outs and holi­stic transformations. 

www.hypax.com