Seed

This is an investment in which a technological risk is present. The contribution of resources takes place before the large-scale production and distribution of the product or service. This contribution may have very different aims, ranging from the definition of the product or service to a prototype trial or the preparation of a market survey. The levels of investment required are usually small in relation to those needed in the following phases, hence the investment should anticipate future needs for resources.

Start-up capital

The investment is used for financing the start-up of production and distribution. We participate in new or recently created companies, these being considered as companies that have not started to generate profits. The investment in this phase has a long period of maturity and usually requires a later injection of resources to finance growth.

Expansion

The investment is designed to provide financial support for a company with a track record to facilitate its access to new products and/or markets, or to growth in markets where it is already present. These investments are of lower risk and higher volume. The lower risk comes from historic data and references from suppliers, customers and financial entities that reduce the level of uncertainty considerably. In any event, the risk continues to exist due to the change of dimension that is the aim of the Project.

OthersAdquisición con apalancamiento (Leveraged/Management Buy-Out y Management Buy-In)

Participation in companies in which a substantial part of the price of the operation is financed through debt, partly guaranteed by the assets of the acquired company and through instruments that are a half-way house between own and exterior resources. There are various modalities, Management Buy-Out (MBO) being when the purchasers become part of the management team of the company, or Management Buy-In (MBI) when the acquirers are part of the management team of a different company. The mixture of the two is called a "Buy-In Management Buy-Out" (BIMBO).

Turnaround

Investment to finance a change of direction in a company in difficulty. This usually involves a change in the management team, so some of the operations come under MBIs..

Replacement Capital

IInvestment aimed at taking the place of a group of shareholders, so it does not involve the entry of new resources into the company. In this case the role of the financial investor is to replace a group of shareholders (usually passive) to give a new impetus to the company. This type of operation usually takes place in second- or third-generation family companies with a view to eliminating conflicts of interests between two types of shareholders with active and passive positions, to make the company more professional by avoiding senior posts being taken by people without the right profile.

The result of both actions should lead to a company whose value is higher.

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