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Investment Criteria |
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Important facts about the way Euroventures Ukraine works: - We invest capital behind strong, talented and motivated management teams and assist them in positioning their companies for significant growth and profitability.
- While Euroventures Ukraine Team provides capital to companies at various stages of development, we usually provide financial resources to fund working capital for growth and experience and contacts to our portfolio companies.
- Occasionally, we may provide liquidity to current shareholders.
- We are additionally helpful at the board level in fact insisting on a board seat; however, we do not seek operating control of the companies in which we invest. Depending on the circumstances, Euroventures Ukraine Team may occasionally, in syndication with others, acquire a controlling interest in its portfolio companies; however we are most often a large (30%-40%) minority investor.
- We prefer to provide growth capital to profitable companies with a minimum of approximately US$10 million in revenues. We seek companies, which can provide reliable cash flow, demonstrable business economics, high margins and earnings potential.
- Euroventures Ukraine Team can provide assistance in areas such as strategic planning, acquisitions, future financing, underwriter selection and recruitment of senior managers and outside board members. In addition, we can introduce our portfolio companies to investment bankers, accountants and legal professionals with whom we have extensive relationships.
- Euroventures Ukraine Team typically aims to realize capital gains on its investments in four to six years.
- The investments range from minimum US$ 5 to 10 million of equity and/or quasi equity per transaction. Larger financing can be arranged through our working relationships with other private investment firms.
- It should be noted that Euroventures Ukraine does not provide straight loans.
- Euroventures Ukraine Team endeavors to identify industries that are projected to have the greatest growth rates over the next decade. Our interests are broad, however we are particularly interested in Fast Moving Consumer Goods, distribution, communications, manufacturing, service businesses, financial institutions and retail.
- Euroventures Ukraine Team will consider growth opportunities in most other industries except for speculative real estate, alcohol products exceeding 15%, tobacco products, casinos, illegal or immoral activities, armaments or industries that are detrimental to the environment.
- The fund will only invest in companies which are private, or at least 75% privatized.
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