Growth by Acquisitions
Growing by acquisition is a paramount cornerstone of DHH strategy also thank to its positive net cash position. DHH, in order to finalize further investment deals follows the following main guidelines.
Expansion
Objective
Entering in new geographies, or expanding product lines acquiring mature and cash generating companies with at least €1mn turnover
Industry focus
Web Hosting, Cloud computing
Stage of development
Market leader, cash generating companies with low leverage
Acquisition strategy
Initially cash purchase of 51%-60% of equity with the option to buy the remaining stake via cash or equity
Consolidation
Objective
Increasing market share in the current company’s reference market, acquiring small to mid-sized companies
Industry focus
Web Hosting, Cloud Computing
Stage of development
Companies with an existing customer base and distribution network
Acquisition strategy
Asset acquisition without retaining the management
Start-ups
Objective
Investing at least €1mn in worldwide innovative start-ups with appealing ideas
Industry focus
New digital technologies
Stage of development
Team and product with proven traction
Acquisition strategy
Initial minority stakes with contingent call options
Creating an ecosystem of independent businesses, that means each company remains independent with its own brand, organization, and management team. Indeed, relying on a full commitment of all founders who together with top management team bring in-depth skills in digital business, the Group will help local tech-pioneers:
Offering expert support, cost and revenue synergies achievement, resources and capabilities enhancement
Delivering know-how in managerial processes, business development, financial KPIs implementation etc.
Providing strategic thinking, technology solutions, marketing know-how and other best practices