Hague investment company takes about Minox Software – Financieele Dagblad (Registration)

It should come as no change in strategy. Investment remains, as always, wide spread. But the Hague investment company Ecart, textile magnate Jan Zeeman known as participant, but will accentuate. Was formerly the million capital to companies in the old economy, now the investor emphatically opened for the information and technology.

The choice is underlined with the acquisition that makes Ecart publicized today the acquisition of Minox Software in Veenendaal. This maker of accounting software Ecart explains some € 2.5 million on the table. It’s in a relatively short time the third participation in the IT sector. Previously took Ecart interests Login Consultants and ShipitSmarter. “Our investments in technology corner are booming,” says Rolf Metz (45), director and shareholder of LPM Trace, the registered owner of Ecart.

Strict requirements

The investor has waited long with it. Earlier latching was not possible because the industry did not meet the requirements of Ecart participations. The pioneers in the IT had no money to invest, and could not boast a great track record. That’s different now. The automation where Ecart money stops, have a positive cash flow and the boards participate fully with it. “The automation industry has become for us a normal business,” says Metz.

That earn serious money falls Ecart shows with BVA Auctions, which is application of IT has become the largest internet auction in the Netherlands. After five years, this interest has been sold to Bencis Capital with a net return of 57.3% per year. It is one of the largest indexes of the more than twenty-year history of Ecart.

When purchasing BVA Ecart paid in 2009, the prevailing multiple of five times the operating profit (EBIT). This factor is now, after a continuous growth of the auction sales, a lot higher. What would not say Metz. It confirms an ancient wisdom: fast growing companies in the IT, prevent higher multiples of the hand

New Internet bubble?

Afraid of a new dotcom bubble Metz is not. The software portfolio companies are fairly insensitive cycle. Minox has for its accounting modules 5,000 customers include administrative offices and entrepreneurs in SMEs. That should provide a stable base. And Login Consultants has developed its own software, which is standard practice raised by major peers in the US, including Microsoft, Citrix and VM Ware. Revenue from software subscriptions shows an annual doubling. Log-founder Eric-Jan van Leeuwen has moved to Silicon Valley to the spot to serve large customers.

Specialized competition

Ecart must include it in the IT sector against other specialized fund managers such as Main Capital and Newion Investments . They also anything but sit still. Main made just last week announced that it has acquired a majority interest in software house OnGuard while Newion in 24iMedia, a developer of TV app’s got. “We are all fishing in the same pond,” admits Metz. But pushed up prices, he says no. “The need for capital is many times greater than the supply. Many a director and major shareholder will, now the crisis ebbs, his company sell or expand. In both cases, money is needed.

Unlike Main and Newion remains Ecart a general participation fund with diversified interests that include posting , packaging and facility services. Differential has € 30 million under management, raised by wealthy thirty (old) entrepreneurs. Since its founding in 1993, the average net yield amounted to 11% per year. In the crisis years was the result back to a lower valuation of the portfolio and two bankruptcies, namely Giralis (treatment of dyslexia) and trading Atlas Magnetics. Ecart also had a loss to say goodbye to the Vrijbuiter, a chain of camping stores.