We provide debt and flex equity to accelerate organic and inorganic growth opportunities
Our investment criteria
Bright Capital provides tailored financing solutions, including credit and minority equity alongside debt, for buy-and-build strategies, leveraged buyouts and growth. Bright Capital invests sector agnostic, but we appreciate strategies with a focus on asset-light business models in fragmented and growing markets. Selected priority sectors include business services, healthcare, IT/software, and education & lifestyle. Our ambition is to enable growth and value creation. Our entrepreneurial culture thrives on partnerships and long-term value.
How we invest
Our investment strategy revolves around a specific set of criteria designed to identify and nurture value-creation opportunities. Our focus lies in targeting companies with an EBITDA range spanning from EUR 2 million to EUR 10 million. We are committed to initiating investments at an early stage, typically entering the market when the enterprise value (EV) is within the EUR 10 million to EUR 20 million range.
Our commitment extends beyond the initial investment, as we aspire to remain steadfast investors for as long as possible, steering the growth trajectory of our portfolio companies towards an EV of up to EUR 100 million. This long-term perspective aligns with our dedication to maximizing value creation and fostering sustainable growth.
In terms of financial parameters, our minimum investment size stands at EUR 5 million, ensuring a significant commitment to the enterprises we choose to support. We typically invest up to 50 million per single investment, maintaining a balanced and diversified approach to our portfolio.
Our investment philosophy places a premium on the quality of assets. We target companies with a robust market positioning, a diverse customer base, agile management teams and resilient cash flows. Our preference leans towards assets with strong credit characteristics, providing ample headroom for debt service. While prioritizing these fundamental traits, we maintain the flexibility to adapt to technical complexity, ensuring that we are well-positioned to adopt to evolving market drivers.
Our approach is anchored in the belief that a patient, strategic investment approach is the key to unlocking opportunities and maximizing long-term value.
Beyond the numbers
When selecting new investments, we firmly assert that attractive investments transcends mere numbers. Our entrepreneurial investment philosophy is underpinned by the conviction that investing is not just about the facts – it is a people's business. We actively seek partners who mirror our fervor for excellence, demonstrating a commitment to go beyond conventional ways. Trust and reliability are not just principles; they are the foundation of forging and sustaining long-lasting business relationships. Building enduring partnerships where passion and diligence converge for our mutual goal is built on genuine teamwork.
Well-designed investment process to provide tailored solutions
Our investment process
Our investment process is design to make us a reliable partner and to provide for highest transaction security. Innovative business models align with our focus, while a commitment to environmental, social, and governance (ESG) factors is a prerequisite. Our investment process enables Bright Capital to not only evaluate investment opportunities, but to create opportunities. Our collaborative approach involves business owners (sponsored and non-sponsored), management team, employees, industry experts and other potential contributors. This approach ensures a comprehensive understanding of each investment's potential.
Partnership throughout the whole life of an investment
Bright Capital stands as a collaborative partner committed to maximizing investment value. We pursue initiatives that provide value-add for all stakeholders. We have established an investment stewardship approach that aims to create sustainable long-term value for our clients by actively engaging with our portfolio companies. We seek to maintain a consistently high level of engagement and collaboration with our portfolio companies to share industry insights, best practices, value-add initiatives, and to leverage our broad network.