As investors, we are active – we influence a business by setting goals, putting the right management team in place, contributing to strategy development and monitoring its implementation. We take an active role in decisions that influence a company’s value.
We take a long-term approach to any business we acquire, selling it only when it is ready for that and is attractive to potential buyers, or when offers are in line with the company’s future prospects.
Contact us by e-mail at pe@invl.com
Our goal is to create value, so we invest in acquiring competitive businesses.
We aim to increase the value of these businesses not only by allocating additional capital or management resources or looking for other opportunities, but also by exploiting their potential for expansion.
We are always seeking to expand our investment portfolio. We are fast and flexible, so we do not avoid complicated transactions.
We do not have a strict minimum investment amount, but we aim to keep the majority of investments above €3,000,000. In businesses where we already operate, we do not rule out smaller acquisitions.
We are interested in:
We have extensive experience in working together with executives in management buy-outs. So, we are ready to cooperate in this area as well.
Sector: furniture manufacturing
Amount invested: €5.4 million (1992)
Realised value: €60.4 million (2014)
Money multiplier: 11.2 x
IRR: 27.8%
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Sector: hotel business
Amount invested: €4.3 million (1995)
Realised value: €22.4 million (2008)
Money multiplier: 5.1 x
IRR: 35%
Sector: generic medicines manufacturing
Amount invested: €58.1 million (2004)
Realised value: €123.9 million (2011)
Money multiplier: 2.1 x
IRR: 21.3%
Sector: road and bridge construction
Amount invested: €7.2 million (2005)
Realised value: €30.4 million (2014)
Money multiplier: 4.2 x
IRR: 34.1%
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Since its incorporation in 1991, Invalda INVL has concluded dozens of acquisitions, sales and capital raising transactions in Central and Eastern European countries. Buyouts, in particular, are an area where we have built up tremendous experience. The total value of our transactions is over €1.5 billion.
We see partnership as one of our strengths, so these deals have been made in collaboration with both foreign private equity funds and local entrepreneurs.
These transactions have brought benefits not only to Invalda INVL, but also to our partners, including company managers, minority shareholders and other investors.
Contact us by e-mail at pe@invl.com
INVL and Šiaulių bankas merged their retail services as of 1 December 2023.
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INVL and Šiaulių bankas merged their retail services as of 1 December 2023.
Final exit date: 2014
Sector: Furniture manufacturing
Amount invested: Since 1992 EUR 5.2 million
Dividends received: EUR 22.9 million
Exit proceeds: EUR 37.1 million
The first time Invalda invested in Vilniaus Baldai during the privatization process in 1992 and it was one of the first investments of Invalda. Controlling stake in Vilniaus Baldai was acquired in 1995. In 2013 a tender offer was launched and investment was further increased.
A professional and independent management team was formed in the company. This management team has successfully implemented the necessary changes and ensured continuing development. Vilniaus Baldai has given much attention to increasing its production efficiency and improvement the quality of manufactured products, which has allowed to continually grow and expand. In 2005 Vilniaus Baldai has completed EUR 11.6 million value investment in the new production unit, thus significantly increasing its manufacturing capacity. In 2011 the company’s sales amounted to EUR 68.9 million.
In 2005 Vilniaus Baldai acquired 25% in Giriu Bizonas. This company used EU support, borrowed and own funds (a total more than EUR 57.9 million) and opened a new particle boards’ factory in 2007. In 2008 Giriu Bizonas was sold to Swedish concern IKEA, which is the main Vilniaus Baldai production buyer. Vilniaus Baldai received EUR 9.24 million) for 25% of stake in Giriu Bizonas and has earned from the transaction nearly EUR 1.74 million profit.
At the moment of exit Vilniaus Baldai was a leading producer of furniture made of wood particle boards, using the most modern honeycomb substrate technology. Modern production processes and continuous efficiency improvement have enabled the company to have one of the highest return rates in the region among companies specializing in the contract furniture manufacturing. According to the sales per employee, Vilniaus Baldai was one of the most effective company’s in the region
Final Exit Date: 2008
Sector: Hotel management
Amount invested: Since 1995 EUR 4.3 million
Dividends received: EUR 2.5 million (dividends received and the disbursements in relation to the decrease of the authorised capital)
Exit proceeds: EUR 19.8 million
The incorporation in 1995 of Valmeda company and the construction started in 2000 of the Holliday Inn Vilnius hotel were the beginning of the hotel business operated by Invalda Group. Invalda focused its efforts on setting up a team of hotel managers and signed the franchise agreement concerning the Holiday Inn hotel with Six Continents (current name is InterContinental Hotels Group); the investment fund Baltic American Enterprise Fund (BALAEF) was attracted as an important financial investor. In 2003. Invalda Group purchased from the BALAEF a 33 % block of shares of Valmeda.
In 2004 Valmeda acquired an economy class hotel Ecotel Vilnius. Early in 2008 Valmeda’s shares were sold to the hotel division of a London based company Triangle Group for EUR 19.8 million, while the enterprise value was EUR 25 million.
Final Exit Date: 2011
Sector: Generic medicines manufacturing
Amount invested: Since 2003 EUR 43.8 million
Dividends received: EUR 2.5 million
Exit proceeds: EUR 121.4 million
In 2003 Invalda related company (since 2004 – Invalda directly) invested in Sanitas, a small Lithuanian manufacturer of generic medicines. Subject to restructuring of management, good manufacturing practice (GMP) certificate and the acquisition of companies in Slovakia and Poland, Sanitas has grown about 10 times and has become a significant player in the Central and Eastern European market. In August 2011 Sanitas was acquired by a Canadian pharmaceutical giant Valeant Pharmaceuticals Internationa. Sanitas’ enterprise value was estimated EUR 365 million in this transaction. The sale of Sanitas – the largest in the Baltics in 2011 and one of the most successful of all time transactions of Invalda.
In March 2003 the Invalda Group, in cooperation with its partner Baltijos Finansu Vystymo Grupe (present Baltvesta), in equal shares acquired 72 % of shares of the largest Lithuanian pharmaceuticals manufacturer Sanitas for EUR 4.7 million. Further the block of shares was gradually increased and investors of Sanitas were able to redeem the major part of their investment.
Having restructured its corporate management and obtained the GMP certificate, Sanitas was further expanding its activities both organically, as well as by means of acquisitions.
In May 2004 Sanitas acquired a shareholding of another Lithuanian manufacturer of pharmaceuticals Endokrininiai Preparatai. In spring 2005 the project for the construction of a new modern medicines manufacturing plant was commenced on the site of this company. The project was completed in 2008.
In July 2005 Sanitas acquired from Sanofi-Aventis a manufacturer of generic medicines Hoechst-Biotika established in a little town Martin, in Slovakia. The pharmaceuticals plant operating at the foot of the Tatra Mountains was incorporated in 1992 and operated the most state-of-the-art equipment. The production capacities were designed to manufacture over 80 million ampoules, 500 million pills and about 122 tons of ointments; therefore the plant was also able to provide the manufacturing services on contractual basis. The acquisition of Hoechst-Biotika for EUR 12.7 million was the first ever foreign acquisition by Sanitas.
In 2006 Sanitas acquired from the State of Poland and private investors the Polish generic medicine manufacturer Jelfa for EUR 161 million, and managed 100 % of the company’s authorised capital. In relation to the acquisition of Jelfa, and with a view to attracting additional funding resources, Sanitas initiated a new issue of shares. The newly issued shares were acquired by Invalda – the key shareholder of Sanitas in cooperation with several other natural persons; as a result of this transactions some globally known investment funds, such as Amber Trust II and Citigroup Venture Capital International, became shareholders of Sanitas. The Sanitas Group’s product portfolio was supplemented by more than 100 new products. The major part of Jelfa’s output was marketed in Poland, the other part in Russia, Ukraine, Baltic States, the Czech Republic, Hungary and Slovakia.
On 23 December 2008 through its subsidiary Jelfa, Sanitas acquired a 100 % holding of Homeofarm – a manufacturer of pharmaceutical ointments operating in Gdansk, Poland. The value of the transaction was EUR 2.7 million.
In July 2010 Sanitas completed the transaction for the sale of HBM Pharma (previous name – Hoechst-Biotika) engaged in contractual manufacturing activities. The total value of the transaction – EUR 13.2 million. After the transaction Sanitas Group focused on the sale of own products.
At the time of Invalda’s investment in 2003 Sanitas’ sales were about EUR 8.9 million. After acquisition of companies and organic growth the sales increased till about EUR 98.3 million in 2010.
Invalda and other Sanitas shareholders, all together controlling 87.2 % shares, on 23 May 2011 have signed a definitive share sale and purchase agreement for the sale of their entire shareholding in Sanitas to Valeant Pharmaceuticals International, Inc. (“Valeant”). Pursuant to the agreement, Invalda has sold 26.5 % shareholdings in Sanitas, in exchange of EUR 83 million, or EUR 10.06 per share.
Taking into account share price adjustment mechanism set out in the agreement signed on 24 October 2008 (regarding sale of 20.3 % of the share capital of Sanitas) total proceedings of Invalda from Sanitas shares amounts to EUR 91.4 million.
The prelimlnary net gain in the standalone financial statements of Invalda is approximately EUR 59.3 million and consolidated financial statements – EUR 53.8 million.
Other major financial investors also gained from the transaction, mlnority shareholders received a possibility to sell their shares for an attractive price, Sanitas management which was motivated by stock options program received remuneration for the achieved results
