How we do business

For 25 years we have been involved in capital investments and are an experienced pioneer of the management buyout market in Poland. To date, we have participated in over 100 transactions.

Type of realized transactions

Management Buyout (MBO)

The fund together with the existing management applies for the purchase of a majority shareholding. It is a solution that has many advantages related not only to the provision of financing, but also to comprehensive organizational and legal support.

Buy and build

This happens when a company requires funding, but in order to do so it is necessary to buy out part of the shares from the existing shareholders (shareholders) who cannot participate in the capital increase or oppose it.

Consolidation projects

Projects involving a simultaneous purchase of 2-3 companies and their consolidation.

Management Buy-in (MBI)

With no chance to acquire the company in which it works, the management group intends to acquire another entity where it can use its experience and knowledge. The company becomes the property of external managers, i.e. not yet associated with the company.

Leveraged buyout (LBO)

A LBO takes place when the acquisition is financed by debt. Investors provide part of the funds needed for this, while a part of the financing comes from a loan.

Buyout of shares from a group of shareholders

If there is a conflict the fund’s investment includes the repurchase of shares from some shareholders. This decision eliminates the dispute and has a positive impact on the development of the company.

How we work – check out what makes us special

We carry out capital investments to support managers in buyout transactions. We are an active equity investor, but our role is to support and not to replace managers. We serve companies through our extensive experience and create new business opportunities thanks to our contacts.

We efficiently execute buyouts from private owners

For many owners of private companies, the most important issue is the problem of succession. They are often very reluctant to see the acquisition of a company by an industry competitor and prefer a transaction with a financial investor. Avallon, due to its operational profile, is an attractive partner for them.

We actively use our network of contacts

Through our years of working with managers, we have developed a huge network of contacts. We are able to reach 5000 industry experts, including foreign experts, through cooperation with HR consulting companies and networks of managers. We have very good relations with advisors in the areas of mergers and acquisitions.

We are committed to international expansion

In each of our portfolio companies we analyse and support the possibility of foreign expansion in detail. The best example of this is our investment in Medort SA. At the time it was a local company operating in the field of orthopedics and rehabilitation. During capital investment, Avallon supported Medort’s acquisition of REHAB, the Hungarian market leader. At a later stage of foreign expansion, Medort established two companies in Russia. The next step was to enter the German market where Medort took over Meyra Ortopedia, the country’s largest player in the industry. This is how the international capital group was formed, which eventually took on the name Meyra SA. Since the investment of the fund, Medort has increased its sales value by almost eightfold.

We support the consolidation and development of companies

We are willing to invest in companies that have a consolidation and development plan. We can support both the acquisition of other entities and the merger process. Good examples are Organic Farma Zdrowia – the largest chain of organic food stores in Poland and Mangata Holding (formerly ZETKAMA) which is listed on the stock exchange. Mangata Holding S, with the support of the Avallon fund, took over several other companies, resulting in more than a fivefold increase in sales, and translating into a significant increase in its value.

We efficiently execute buyouts from private owners

For many owners of private companies, the most important issue is succession. They are often very reluctant to see the acquisition of a company by an industry competitor and prefer a transaction with a financial investor. Avallon, due to its operational profile, is an attractive partner for them.

We cooperate with leading funds in Europe

We are the only company in Poland to cooperate within EPEC (European Private Equity Club), which brings together independent investment funds from different countries. This enables us to expand our network of contacts and helps us with planned acquisitions of portfolio companies.

We improve controlling and risk control systems

Currently every company is exposed to high fluctuations in their respective business environments. We have access to best practices in controlling. We are able to implement them and utilize them in new companies.