VC-A Winter 2018 Newsletter

Time to leverage your business for growth?

In spite of a few clouds like the Brexit, a high Shiller PE ratio in the US, a foreseeable cryptocurrency bubble burst (bitcoin and the like) and scattered politico-social issues in countries like Spain (Catalonian’s independence) or Greece (austerity measures), the global economy continues to flash a "green light".
It is the right time for companies to implement growth strategies and to invest into the real economy.
Indeed, one-year Euribor is a 0.18% negative, inflation is contained, and bond yields are historically low despite a major global selloff at the beginning of the year.
 
The corollaries are that financially sound companies can finance themselves at the lowest interest rates worldwide ever seen and that many lenders, desperate for higher returns, are considering buying “riskier” asset classes.
 
To surf the growth wave, savvy entrepreneurs and managers should consider new projects development and buy-outs through alternative financial instruments and methods such as bank guarantees, corporate bonds, debt securitisation, project finance and credit enhancement.

VC-A M&A SUITE

We have launched Version 2 of our Value Creation - Alternative M&A Suite. The CRM now allows us to link eXchange emails to our +33 000 contacts in +22 000 companies, of which +3 500 are investors.

VC-A Agents who wish to access the VC-A M&A Suite can submitting a request by email to become VC-A Associates.

Note: candidates will be taken through an onboarding and compliance process.

Review VC-A's value proposition here.

To join VC-A as an Agent register on-line here.

Amine Tazi

Mr. Amine Tazi joins as a VC-A Partner

We are delighted with the recent appointment of Mr. Amine Tazi, as a VC-A Partner.
 
Mr. Tazi has developped most of his career at French telecom company, Orange, where he reached the position of Vice President Strategy & Planning & Valuation.
 
Mr. Tazi is trilingual, French, English and Arabic. He got his MBA from the London Business School and owns a Master in Telecommunications from Eurecom Institute as well as a Master in Communication Systems from the Swiss Federal Institute of Technology.
 

Mr. Francesc Muro joins as a VC-A Associate Director

Mr. Francesc Muro has recently been promoted from VC-A Agent to VC-A Associate.

Mr. Muro is an automotive industry expert.

Mr. Muro speaks Spanish, English, French, Catalan and German. He got his MBA from IESE Business School and owns a Mechanical and Industrial Engineering degree from the University of Barcelona.

Are you ready for automation?

Much has been published recently about automation and digitalisation. It is becoming ever more critical that senior managers are aware of these concepts and their potential. However, it can often be a challenge to grasp what is needed just to get started.
 
Looking at automation, we are seeing how artificial intelligence and specifically machine learning is changing and, arguably, improving decision making. ‘Big data’ - the massive amount of data from an ever-increasing array of sources - is the fuel that energises learning machines. The machines themselves vary in style and can be complex yet business leaders should not have fear.
Simple and easy to implement techniques do exist making it a surprisingly modest challenge to build basic prototypes. Barriers to entry continue falling, facilitated by a world of open-source utilities and cloud computing. What results is better business decisions that drive improvements in efficiency, accuracy and quality.
 
At VC-A, we believe that all firms should have a clear digital strategy. Often this will address such issues as customer experience or industrial efficiency; behind which is automation. Indeed, current business strategy may not fit the increasingly digital world.
 
Let VC-A’s experts help you define or refine your strategy and prepare you to experience a more productive future.

Consolidation continues in European Automobile Aftermarket

We expect 2018 to continue with the mergers and acquisitions we have witnessed in Europe since LKQ bought ECP in the UK in 2011. In December 2016, LKQ acquired Germany's Stahlgruber, a company with €1600M turnover, buying not only a business but a leading position in the German market.
 
For historical reasons, this is a very fragmented industry, specially in southern Europe, where most individual owners have been attached for years to small family business. Now we see acquisitions of all size companies, while we also see some auto OEM's taking positions in the open equivalent parts market. Namely PSA, Renault and VW are entering this business, which will only intensify the need for consolidation.
 
Some deals are already coming for early 2018 and new candidates continue to be approached.

Blockchain

The number of applications of blockchain in financial services have been flourishing and materializing with concrete use cases. Blockchain increases efficiency, in terms of signing contracts, sharing data with investors, eliminating many process hurdles and improving compliance.
 
One of the potential areas for Blockchain is by making what are generally illiquid investments more liquid. With Blockchain technologies such as Ledger X, it will be the missing link to bring information and valuations to the individual investor.
 
Deployments so far are limited in private equity, mainly in administration and back-office support.  Initial Coin Offering (ICOs) are another potential use of blockchain for private equity managers and will also support startups in their fundraising process. Many initiatives raised also by fund managers to create funds now also through ICOs. Blockchain still have promising future for the Private equity industry although privacy remains a challenge.

Are you the victim of a conspiracy?

Are you unsuccessful in business? Is your company is going through a long streak of bad luck? Do you feel isolated at work? Are people talking behind you back? Do prospects no longer answer the phone?
Chances are that you are the victim of a conspiracy.

Read more...

The Value Creation - Alternative Network

If you run a business, use this group to share ideas around new business development strategies, alternative sources of money, alternative growth strategies and new business models.
 
VC-A Members, Investors, Company Owners, CxOs, Directors and Managers are invited to join.

Some of VC-A current opportunities

VC-A ProgramProject IdTicketOverviewWho could be interested?
Axion Blue ProgramAxion Blue-XXX€100k to €100MSet up and invest in a series of funds in multiple verticals: startups, NPL, RE, securities, commodities... Fund Managers, HNWI, FO, Asset Managers, Portfolio Managers, Corporations, Investors, LPs and GPs.
Debt Raising ProgramSME Loans
Alternative Funding
Funding Source
€1MVC-A's Debt Raising Program is designed to facilitate and expedite the fundraising journey for our esteemed clients. Any company or new project developer looking to restructure or raise debt as part of a long term partnership with VC-A. No brokerage services.
Buy-Side ProgramVarious€5M -> €100MOur VC-A network regularly receives 10 to 30 new M&A acquisition requests every month across diverse sectors, aligning with our mid-market focus. We welcome collaboration with potential buyers seeking enduring partnerships with VC-A, rather than mere brokerage services. Please note that we will gradually phase out legacy buy-side mandates from our database.Large corporates, well-funded startups, private equities, trust and funds interested in establishing a long-term relationship with VC-A. The program suits well built-up strategies.
Holding Co. ProgramTBD€100k+The Hold Co. Program shall include the projects related to the creation of a holding structure in Malta in collaboration with Fiduscorp.Non-Maltese residents interested in setting up a Holding structure in Malta.
VC-A Business Development ProgramVC-A M&A Suite
Private Placement License
€30k+ - €1MThe VC-A Business Development Program recompiles the different fundraising projects aimed at developing the VC-A network.Open for VC-A Members only.
Credit Enhancement ProgramDirect Loans, Sovereign Fund, UK Licensed, US Based€10M to €100M+VC-A Credit Enhancement Program is the program overarching the multiple credit enhancement solutions offered EXCLUSIVELY to our VC-A MembersProject developers and owners seeking to leverage their capital up to 35 times through partnerships with VC-A Members
AI Adoption ProgramTBDTime and MaterialVC-A accompanies its clients throughout the entire life cycle of a successful AI transformational project.Large companies in all sectors and industries, especially born-analog companies and industry laggers challenged by born-digital new entrants.

About Value Creation - Alternative

Value Creation – Alternative is a Strategy and Investment Advisory firm. We help companies to develop their business through acquisition and organic growth. We accompany our clients throughout the entire life cycle of their corporate development programme: strategy definition, target search, due-diligence, negotiation, transformation map, change management and digitalisation.
 
We are a worldwide network of more than 1,000 seasoned professionals with more than 45,000 contacts and have collectively advised M&A projects worth in excess of US$100B.
 
We support complex strategic and operational business decisions with deep analysis and robust processes. Our methodology is a combination of desk research, interviews and application of our internal know how.

Scroll to top