To buy well, Nordic Capital proactively selects opportunities where we see the opportunity to apply our focused strategy to create substantive value.
Nordic Capital benefits from a deeply rooted local presence to proactively build relationships with shareholders, boards and management teams as well as local banks and advisers.
We take a long-term approach to understanding potential investment opportunities - sometimes tracking a business for several years before acquisition.
The team of more than 60 investment advisory professionals tracks approximately 300 opportunities each year.
As a result, Nordic Capital is strongly placed to find attractive investment opportunities where there is little competitor overlap. 85% of our investments are sourced directly and are made outside competitive processes.
INVESTED EQUITY BY SOURCING TYPE (all Fund VIII and Fund IX deals)
Sourcing Investments
KEY PROCESS
Proactive Sourcing Model
Sector focused investment selection
Ownership Excellence
Systematic approach with sector specific value creation themes and dedicated operations team supporting portfolio companies
Exit Focus
Structured approach on exits –integrated across the firm
- Track businesses for several years before investing
- Deeply rooted local presence and close relationships with advisors and banks
- Proactive approach to building relationships with shareholders, boards, management teams
- Focus on proprietary and exclusive situations
- Capitalise on structural or trend shifts and minimise reliance on macro trends or the prevailing economic cycle
Standard Operating Procedures
VCP: Formulate Value Creation Plan based on company-specific value drivers, anchored in the organization, and translated into a tangible implementation plan. Business Model: Sector Playbooks, Commercial Excellence, Operational Excellence and Fuel for growth. Performance Management: Define key investment priorities and set up performance reporting and finance function up to par with industry standard
Operations Team
Nordic Capital's Operations Team includes professionals with deep industry knowledge and experience. Their role is to support and ensure the consistent application of best practice across the investment portfolio. The Team includes sector dedicated Senior Ops Team members, Operations Managers, Strategic HR specialists, the Chief Digital Officer and the Head of NCPO
Strategic HR and Portfolio Talent Development
In-house expertise drives management assessment, leadership development and recruitment within Nordic Capital’s companies.
Operating Chairs
The Operating Chairs has multiple engagements with Nordic Capital. They serves as Chairperson of boards and have experience and availability to serve as interim CEO.
Industrial Advisors Network
A network of 100+ industrial advisors, including Operating Chairmen, industry and functional experts, is connected to Nordic Capital. Tier 1 serves as board members, is the primary point of contact for relevant segment and has a long-standing history with Nordic Capital with frequent contact. Tier 2 is primarily engaged via frequent ad hoc assignment and represents an area of expertise that is important. Tier 3 has nice specialty relevant on project-by-project basis and expert-call interactions.
Blackbelts
Blackbelt network to implement and accelerate VCP implementation. Subject matter experts in functional area. Available for rapid deployment to portfolio companies. Adds capacity and capability to accelerate specific projects.
Cross Portfolio Initiatives
Delivering value from procurement, commercial excellence, digitalisation and other efforts across the portfolio.
Governance
Portfolio company governance, based on a set of best practices, is an essential part of Nordic Capital’s value creation model. A dedicated Sustainability function promotes best practice in environmental, social and corporate governance within our Funds as well as the portfolio companies.
Supporting value drivers
People and performance, Digital and Sustainability
- 88 exits since inception
- 37% of exits to strategic buyers
- 21 IPOs in the Nordics and UK