Investment strategy

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Cobepa’s investment strategy is centred around two main types of investments:
Growth capital investments, in which Cobepa takes significant minority stakes
Buy-out transactions, in which Cobepa acquires control or co-control of the company alongside the management and other investors

We also participate in strategic partnerships which are active in attractive segments which complement our own investment focus.

Cobepa mainly seeks to pursue investment opportunities in Europe. Via our participations however, we also have significant economic interests in the US, Asia and South America.

Growth capital

Cobepa takes significant minority stakes in companies with a medium to long term investment horizon:

  • Sizeable minority stakes between Euro 50 million and 150 million each
  • Preference for established, unlisted companies
  • Company not unduly leveraged and able to distribute dividends

Growth capital investments represent the vast majority of investment portfolio. The “evergreen” character of Cobepa (as opposed to closed-end funds) allows us to make investment commitments on the longer term, which enables stability of ownership and sustainable value creation. This differentiating feature, combined with our longstanding experience and partnership culture, underpins our strength in growth capital investments.

Buy-outs

Cobepa is also active in the traditional buy-out segment:

  • Equity investment of Euro 20 million to 50 million per transaction
  • Various types of transactions can be considered: traditional MBOs in which Cobepa acquires a majority stake alongside management; owner-managed buyouts in which Cobepa acquires a sizeable minority stake alongside founders and/or management; joint-control buy-outs; leveraged recapitalisations, in which Cobepa acquires a minority stake from an existing private equity owner seeking to realise part of its investment, etc.

Cobepa has developed ample expertise in structuring and managing buy-out investments. Furthermore, our ability to stay on board longer than traditional private equity funds also applies here, in particular when the companies can be assimilated to growth capital investments once acquisition debt has largely been reduced.

Strategic partnerships

In addition to growth capital and buy-outs investments, Cobepa also structures and organizes strategic partnerships for investing in specific sectors or countries offering attractive prospects but requiring a different combination of skills for creating value. In this respect, Cobepa has launched BeCapital, together with La Compagnie Benjamin de Rothschild and environmental consultancy firm BeCitizen. BeCapital is a Euro 150 million investment fund dedicated to the cleantech segment.