Since its establishment, VMCap has focused its investments on technology-oriented high-growth companies. It aims to acquire majority interests and thus purchases both secondary interests from shareholders who are willing to sell, as well as primary interests from capital increases by injecting capital into the companies. It reviews investments in individual companies as well as acquisitions of several companies from private equity funds, or the acquisition of interests in private equity funds.
Both individual investments and the acquisition of funds focus on the potential offered by the companies being financed. A key factor in a company's development potential is a qualified and highly motivated management team. In addition, the target companies should have products with technical USPs and operate on a receptive, high-growth market. The three to six year investment horizon through to a trade sale or IPO means that the companies should already be recording revenues in excess of € 20 million when they are acquired.
One of VMCap's characteristics is the speed at which it acts on the market. It is not unrealistic for just a few weeks to elapse from initial talks through to the agreement being signed. As VMCap generally does not intend to refinance its investments, it is able to conclude participating interests relatively quickly, and also to finance companies which do not have sufficient earnings power for a traditional leveraged buy out.