Strategy
The Opportunity
Vidia’s purpose is to accelerate industrial transition and decarbonize the highest emitting industries.
50%
Co2 reduction required
Planning to cut emissions by at least 50% by 2030, the EU sets Europe on a path to become climate neutral by 2050. This requires a massive scale up of climate solutions.
>50%
of technologies exist
The vast majority of solutions to reduce CO2 emissions and meet climate goals over the next ten years already exist. It’s time to scale them and make them more cost competitive.
#2
climate solution leader
Based on engineering excellence, Germany is the second largest exporter globally of climate solutions, with leading SMEs playing a crucial role.
50%
>50%
#2
The time is now
The next 10 years are decisive for humanity’s race to net zero. The longer we wait to act, the more severe measures will need to be taken. This is why existing and available technologies need to be rapidly deployed at scale.
The time is
now
The next 10 years are decisive for humanity’s race to net zero. The longer we wait to act, the more severe measures will need to be taken. This is why existing and available technologies need to be rapidly deployed at scale.
Our Investment Strategy
As private equity investors, we can accelerate industrial decarbonization by improving the competitiveness of climate solutions and facilitating disproportionate growth of businesses.
To decarbonize the highest emitting sectors, we focus on three key areas of transformative solutions: industrial materials, electrification and circular economy business models.
Within these core themes, we look for direct climate solution providers as well as providers of technologies that indirectly enable climate solutions in value chains.
Our Investment strategy
As private equity investors, we can accelerate industrial decarbonization by improving the competitiveness of climate solutions and facilitating disproportionate growth of businesses.
To decarbonize the highest emitting sectors, we focus on three key areas of transformative solutions: industrial materials, electrification and circular economy business models.
Within these key areas, we look for both providers of climate solutions and technology vendors that indirectly enable climate solutions in their value chain.
Industrial materials
Low carbon alternatives to traditional materials to decarbonize supply chains, industrial processes and equipment.
Electrification
Substitution of fossil fuels with electrical energy, from power generation to consumption, supported by energy efficient solutions.
Circular economy
Circular solutions that facilitate recycling, waste reduction and the improvement of the production footprint of virgin materials.
Industrial materials
Low carbon alternatives to traditional materials to decarbonize supply chains, industrial processes and equipment.
Electrification
Substitution of fossil fuels with electrical energy, from power generation to consumption, supported by energy efficient solutions.
Circular economy
Circular solutions that facilitate recycling, waste reduction and the improvement of the production footprint of virgin materials.
How we
create value
Vidia’s approach to value creation is founded on industrial transformation and divided in three key phases
Defining operations:
Creating a roadmap towards an improved operational setup based on a deep understanding of today’s requirements. Determining clear priorities together with the management of the portfolio companies and defining ambitious targets for operational capability, process efficiency and climate solution growth trajectory.
Building operational capacity:
Developing the necessary organizational and managerial capacities to effectively drive operational excellence and increase overall profitability.
Driving growth:
Capitalizing on operational improvements; striving for growth by optimizing the current product portfolio, entering into new markets and / or acquiring of new customers.
How we
create value
Vidia’s approach to value creation is founded on industrial transformation and divided in three key phases
Defining operations:
Creating a roadmap towards an improved operational setup based on a deep understanding of today’s requirements. Determining clear priorities together with the management of the portfolio companies and defining ambitious targets for operational capability, process efficiency and climate solution growth trajectory.
Building operational capacity:
Developing the necessary organizational and managerial capacities to effectively drive operational excellence and increase overall profitability.
Driving growth:
Capitalizing on operational improvements; striving for growth by optimizing the current product portfolio, entering into new markets and / or acquiring of new customers.
Situations we invest in
We look for leading companies in healthy niche-markets with a robust, proven business model, and climate positive products and services as part of their current portfolio. Our operational experience and proven impact DNA facilitate the business transformation needed to unlock a sustainable competitive advantage at scale.
Business characteristics
- Sales between 30-300m EUR
- Focus on DACH and Nordics
- Growth and mature buyouts with proven product or service
- EBITDA and cashflow positive
Deal type
- Healthy businesses with operational potential
- Control investments
- Growth capital, partnering with entrepreneurs, succession situations, carve-outs
Impact requirements
- Climate solution currently / forecasted to be significant part of business
- Climate solution as key lever for value creation, offering both financial and impact return potential
- Minimum impact score in line with Vidia’s impact methodology
Situations we invest in
We look for leading companies in healthy niche-markets with a robust, proven business model, and climate positive products and services as part of their current portfolio. Our operational experience and proven impact DNA facilitate the business transformation needed to unlock a sustainable competitive advantage at scale.
Business characteristics
- Enterprise Value up to 300m EUR
- Sales typically up to 500m EUR
- Focus on DACH and Nordics
- Growth and mature buyouts with proven product or service
- EBITDA and cashflow positive
Deal type
- Healthy businesses with operational potential
- Control investments
- Growth capital, partnering with entrepreneurs, succession situations, carve-outs
Impact requirements
- Climate solution currently / forecasted to be significant part of business
- Climate solution as key lever for value creation, offering both financial and impact return potential
- Minimum impact score in line with Vidia’s impact methodology
CASE STUDY
BPM
Best Plastic Management (BPM) is a specialized plastic recycling company in Germany, addressing the growing need for high quality polystyrene (PS) and polypropylene (PP) regranulates to replace high-carbon virgin plastics
Investment Hypotheses
Strong market tailwinds due to consumer preferences and regulatory requirements
Tangible organic and inorganic growth opportunities in a fragmented industry
Aim to position BPM as a leading plastic recycling company in the DACH region through tripling of capacity and selected add-on acquisitions
Impact
Plastic recycling capacity constituting a bottleneck in the market for years to come. BPM’s processing volume making a significant contribution to replacing emission-intensive primary plastic
BPM performing high on the Vidia climate impact matrix - anticipated avoidance of over 3,000 tons of CO2 emissions p.a., per million Euro invested. Further potential following a full ramp-up of capacity
Transaction profile
Investment Date / Type - August 2023 / Majority
HQ - Near Bremen, Germany
Opportunity - Succession situation / Operational scale-up
Website - www.best-plastic.de/en
CASE STUDY
BPM
Best Plastic Management (BPM) is a specialized plastic recycling company in Germany, addressing the growing need for high quality polystyrene (PS) and polypropylene (PP) regranulates to replace high-carbon virgin plastics
Investment Hypotheses
Strong market tailwinds due to consumer preferences and regulatory requirements
Tangible organic and inorganic growth opportunities in a fragmented industry
Aim to position BPM as a leading plastic recycling company in the DACH region through tripling of capacity and selected add-on acquisitions
Impact
Plastic recycling capacity constituting a bottleneck in the market for years to come. BPM’s processing volume making a significant contribution to replacing emission-intensive primary plastic
BPM performing high on the Vidia climate impact matrix - anticipated avoidance of over 3,000 tons of CO2 emissions p.a., per million Euro invested. Further potential following a full ramp-up of capacity
Transaction profile
Investment Date / Type - August 2023 / Majority
HQ - Near Bremen, Germany
Opportunity - Succession situation / Operational scale-up
Website - www.best-plastic.de/en
Credentials
The Vidia team offers experience across core business areas and an agile set-up for target screening, deal execution, and portfolio management to maximize impact and returns.
>50 years of experience
across the team in acquiring, scaling and exiting Mittelstand companies.
25 transactions
in the DACH and Nordic regions completed by the partner team.
3 Vidia teams
combining investment, operations and impact expertise in an integrated approach, driving value creation through the entire investment lifecycle.
>50 years of experience
across the team in acquiring, scaling and exiting Mittelstand companies.
25 transactions
in the DACH and Nordic regions completed by the partner team.
3 Vidia teams
combining investment, operations and impact expertise in an integrated approach, driving value creation through the entire investment lifecycle.