Private equity
Private equity is bound up with the concept of equity capital. Private equity companies typically invest in non-listed companies and thus usually offer opportunities for further development that are typically reflected in an investment thesis. However, the horizon of the investment and the deployment of borrowed capital can vary quite considerably depending on the investor. DPE’s private equity is capital from entrepreneurs for entrepreneurs. No time pressure, no focus on quarterly results, no financial acrobatics. Our added value is created through growth – organically or through acquisitions, and not through high debts. We turn managers into entrepreneurs. We offer scope for development, to allow your business energy to evolve.
Significant benefits of private equity: number of employees grows rapidly
The economic benefits of private equity have been proven to be considerable – private equity funds have thus increased the number of employees in the companies they have financed in Europe alone by 26% between 2000 and 2012. Around 142,000 new jobs have been created by private equity investments during this period. This is confirmed by a survey carried out by Adveq, an independent, globally operating private equity umbrella fund provider. Even in those companies in which investments were made in 2009, the year of the global financial crisis, an increase of 13,500 jobs was recorded. This corresponds to a growth of 19%. The DPE corporate family has evolved significantly – since investment, the number of employees of our portfolio companies rose by ca. 30%. Our added value is created through growth – through more investments, more research and development and of course through our employees.
More investments, more R&D, more growth
In the meantime, numerous studies have confirmed that holding companies of private equity companies invest more, provide more money for research and development and grow considerably more quickly. It’s therefore no surprise that the added value in holding companies is mainly created as a result of operational improvements – as confirmed by an empirical study carried out by the Technical University in Munich. For us as entrepreneurs, this is perfectly normal – and that’s why our focus is on operative initiatives and growth investments.
