Building a Value Through M&A

DHH creates value executing a sound M&A strategy, which aims at substantially increasing the intrinsic value of acquired companies in the very short term after the completion of the deal. This strategy is based on the following pillars:

Proposing a fair valuation for the acquisition, not over-paying the companies

Structuring a deal where the entrepreneurs have strong incentives to stay in the company after the acquisition with the goal of growing the main business KPIs: revenue, EBITDA, net profit, free cash flow

Cleaning-up the companies from the costs not connected to the core business, which are a constant in the world of SMEs

Implementing a control management system in companies, so to improve the budgeting and planning process, which is usually non-existent in the SMEs

Representing companies’ financials in the best possible way, communicating the meaning behind the numbers

Thanks to this approach, in the last 5 years DHH invested more than 40M EUR in M&A deals and the portfolio companies are now worth more than 75M EUR. (Source: Value Track equity research report)