Deutsche Effecten- und Wechsel-Beteiligungsgesellschaft AG is private equity and venture capital firm specializing in investments in mid venture, late venture, turnaround, mezzanine, bridge financing, and expansion stage in medium sized companies. The firm seeks to invest in optics, photonics, sensor systems, optical technologies, optoelectronics, and sensor technology. It prefers to invest in German speaking countries with a focus on Germany, Austria, and Switzerland. The firm typically invests between EUR 1 million ($1.36 million) and 7 million EUR ($9.5 million) in its portfolio companies. It primarily invests in the form of shareholder's equity for a period of three to seven years. The firm seeks to invest as a lead investor in stakes in excess of 25% and exits its investments via an IPO, trade sale, or a buy back. It makes balance sheet investments. As of December 31, 2009, DEWB AG's portfolio comprised 11 investment holdings involved in the photonics and sensor systems, biotechnology as well as information technology (IT), including KSW Microtec Holding AG, OLPE Jena GmbH, Nanda Technologies GmbH, Nanotron Technologies Ltd., SensorDynamics AG, my-Sen GmbH, Zenteris Beteiligungs-GmbH, Integrated Genomics, Inc., NOXXON Pharma AG, Sloning BioTechnology GmbH and iTAC Software AG. Deutsche Effecten- und Wechsel-Beteiligungsgesellschaft AG was founded in 1821 and is based in Jena, Germany.
Numbers
Market Cap 17.5M EUR (50% off from the latest valuation of all portfolio co's, very deep discount indeed)
Value of investment portfolio about 36M EUR
Return on Assets 2% (this is where rapid growth opportunity lies, even if 1 of their promising co's will hit the market or will be acquired, shareholders will get a decent return, because DEWB AG holds rather major stakes in it's portfolio co's)
Cash 28M EUR
LT Debt 19M EUR (market cap equals cash holdings, show me any tech start up in photonics, opto-electronics, sensors or nanotech where I can get this valuation)
Shares Outstanding 15,230,000
Float 3,200,000
Major Shareholders:
JENOPTIK AG 11%
DWS Investment GmbH 8.5% (almost doubled stake from last year)
Baden-Würtembergische Investmentgesellschaft mbH 3%
DZ Privatbank SA 2%
Aramea Asset Management AG 1.6%
Union Investment Management 0.6%
Chart AG 0.35%
Promont AM AG 0.13%
Lange Assets & Consulting GmbH 0.1%
ABAG Aktienmarkt Beteiligungs AG 29% (this is a very interesting shareholder worth a special notice here, ABAG in itself a private equity and investment fund similar to DEWB, so why would they invest a major stake in their competitor? )
Some public co's holdings of ABAG below (not an DEWB holdings)
And private co's holdings of ABAG below
Resume: Be short and to the point, discount to book value, from year 1997, 55 private equity investments with realized value of over 400M EUR, 39 exits and 8 were IPO's. This doesn't promise you riches (this is history) but it shows that you are investing with highly experienced team and look the stock price. But the bigger point is: Why ABAG holds 29% stake here? The answer is ABAG got a strong feeling that one of DEWB portfolio companies will be a big success coming and they want to participate in that, because directly they can't invest in this promising company as it's 100% owned by DEWB, in my opinion this company is KSW Microtec AG, is one of worldwide leaders in development and manufacture of RFID components. Also Noxxon Pharma AG is promising too as it develops pharmaceutical active agents based on proprietary Spiegelmer technology, DEWB holds here 12% stake. Good luck.
Numbers
Market Cap 17.5M EUR (50% off from the latest valuation of all portfolio co's, very deep discount indeed)
Value of investment portfolio about 36M EUR
Return on Assets 2% (this is where rapid growth opportunity lies, even if 1 of their promising co's will hit the market or will be acquired, shareholders will get a decent return, because DEWB AG holds rather major stakes in it's portfolio co's)
Cash 28M EUR
LT Debt 19M EUR (market cap equals cash holdings, show me any tech start up in photonics, opto-electronics, sensors or nanotech where I can get this valuation)
Shares Outstanding 15,230,000
Float 3,200,000
Major Shareholders:
JENOPTIK AG 11%
DWS Investment GmbH 8.5% (almost doubled stake from last year)
Baden-Würtembergische Investmentgesellschaft mbH 3%
DZ Privatbank SA 2%
Aramea Asset Management AG 1.6%
Union Investment Management 0.6%
Chart AG 0.35%
Promont AM AG 0.13%
Lange Assets & Consulting GmbH 0.1%
ABAG Aktienmarkt Beteiligungs AG 29% (this is a very interesting shareholder worth a special notice here, ABAG in itself a private equity and investment fund similar to DEWB, so why would they invest a major stake in their competitor? )
Some public co's holdings of ABAG below (not an DEWB holdings)
And private co's holdings of ABAG below
Resume: Be short and to the point, discount to book value, from year 1997, 55 private equity investments with realized value of over 400M EUR, 39 exits and 8 were IPO's. This doesn't promise you riches (this is history) but it shows that you are investing with highly experienced team and look the stock price. But the bigger point is: Why ABAG holds 29% stake here? The answer is ABAG got a strong feeling that one of DEWB portfolio companies will be a big success coming and they want to participate in that, because directly they can't invest in this promising company as it's 100% owned by DEWB, in my opinion this company is KSW Microtec AG, is one of worldwide leaders in development and manufacture of RFID components. Also Noxxon Pharma AG is promising too as it develops pharmaceutical active agents based on proprietary Spiegelmer technology, DEWB holds here 12% stake. Good luck.
