The 15 medium-sized investment companies (MBGen) — which also include BayBG Bayerische Beteiligungsgesellschaft mbH (BayBG) — present impressive figures in their 2017 annual statistics: they are currently investing nearly €1 billion in 2,900 companies. These portfolio companies, in turn, employ 150,000 people and generate revenues of over €28 billion.
With these figures, Peter Pauli, Managing Director of BayBG Bavarian Investment Company and the board member responsible for small and medium-sized businesses in the industry association BVK (Federal Association of German Private Equity and Venture Capital Companies), when presenting the MBG annual statistics for 2017, highlighted the business and economic significance of the MBGens, which are organized regionally by federal state.
With new investments totaling €151 million in around 460 companies, MBGs remained among the most active private equity firms in Germany in 2017. Pauli attributes the stable demand for MBG equity capital to the capital needs of SMEs and startups for the implementation of expansion, innovation, and digitalization projects, as well as for corporate succession planning. This additional financial need cannot usually be covered by SMEs and startups through debt financing or equity.
Among the MBGen, BayBG is the leading company with a holding of more than
300 million euros, a prominent position. Pauli comments:
“Currently, BayBG accounts for over 32 percent of MBG’s total investment portfolio in Germany.”
