HOW WE INVEST
The funds’ return and size
Dansk Vækstkapital invests in unlisted funds with a view to achieving a competitive and double-digit return for the combined portfolio of funds. The funds need to be of a size – and have critical mass – that makes them commercially viable, building upon the existing skills of established fund managers who possess specialist knowledge. Therefore, the required minimum fund size is usually DKK 400-500 million (EUR 54-70 million).
This minimum requirement may on the grounds of return, in certain situations be waived, for instance regarding sector specific investments.
Requirements of fund managers
Dansk Vækstkapital invests in funds that focus on growth companies to which the fund managers actively contribute with value creation. The fund managers must have extensive field-specific experience corresponding to the scope stipulated in the fund’s investment strategy. Furthermore, the managers must have a proven track record regarding value creation and generating return. Dansk Vækstkapital always conducts its own independent due diligence.
The funds must adhere to fundamental social and ethical principles in relation to their investments.
TYPES OF FUNDS
Dansk Vækstkapital I invests in the following types of funds:
- Small & mid cap funds – that is, funds that invest in companies of up to 1,000 employees and with a turnover of up to DKK 1,250 million.
- Venture funds.
- Funds that offer subordinated loan capital, including mezzanine capital funds.
The investment period of Dansk Vækstkapital I expired by 31 December 2015. This implies that investments can only be made on the basis of commitments already made. Check the homepage regularly to keep up to date with Dansk Vækstkapital’s investments and total committed capital.