Active PE fund always invests much more than just capital: “It’s all about preparing for growth”

This post is also available in: Danish

Some investors stay in the background. Others have a more active approach with the belief that they can make a difference and help the company succeed.

VækstPartner Kapital belongs to the latter category.

The Danish private equity fund, which focuses on scalable, Danish B2B companies, utilize a very special active co-ownership model, where they contribute with execution power and sparring on everything from strategy, value creation and internationalization.

“We find that many companies are looking for ongoing sparring in relation to their growth journey. That’s why we actively contribute to the development of the company in close collaboration with the day-to-day management team. This can be anything from building a better understanding of who the company’s ideal customer is to putting together the right management team. It’s all about preparing the company for growth,” says Stine Nørbo, Investment Professional at VækstPartner Kapital.

The special active approach is based on a good relationship between investor and company. That is why VækstPartner Kapital takes the time to understand the owner-manager and what motivates him/her.

“The chemistry between us means a lot when we work as closely with the owner-manager as we do. That’s why we like processes where we regularly check in with the companies before an investment. That way, both parties mature in their thinking about where we see the company going next and whether we can have a good collaboration along the way,” explains Stine Nørbo.

Scaling and internationalization require know-how. That is why the team behind VækstPartner Kapital all have relevant experience from roles in the corporate sector and have focused on what is important when scaling a business since its founding in 2016.

“It’s all about prioritization. And it can be easier with an investor who sees things from the outside and can help create a strategic plan on a data-driven basis. Owner-managers often have the answers themselves. But they can’t always see which of their good ideas is the right one to prioritize,” says Stine Nørbo.

VækstPartner Kapital typically invests between 20-40M DKK in a company and has in the period 2016-2023 made 18 investments and seven exits.

VækstPartner Kapital’s investment criteria

• Based in Denmark
• B2B focus
• Revenue of DKK 10-100 million.
• Strong market position
• Attractive growth potential
• Open to active co-ownership