Blue Tree Group - TMT Investment Banking & Investment Management

Please check out our update on our new Financial Advisory product, Market Sounding, which we have already successfully advised for more than 50 venture capital firms across Europe

Raising a pre-seed round? Here’s what investors want to see 👇🏽 The data below from Carta shows the most recent benchmarks for founders raising pre-seed and seed rounds (mostly using SAFEs ahead of priced rounds. UK and EU founders can expect local investors to be down/behind on these numbers. If you’re thinking about raising a pre-seed round, these are the things investors expect to see: 1️⃣ Customer engagement on your product or service. With a wide range of tools available to build an MVP, investors expect to see customer engagement (beyond throwaway comments/feedback) that demonstrates a willingness to adopt the product or service. 2️⃣ Defined steps for scalability. Understanding exactly where the friction points in your product or service are and what you need to overcome them shows that you’re being pragmatic on your growth trajectory and how you plan to allocate the investment capital. 3️⃣ A truly unique insight supported with data. It might seem obvious but investors are wary of funding startups with incremental value creation for customers. Show that you understand the customer and market opportunity with your unique insight. Regardless of the later stage investment market, pre-seed investing will continue to remain strong and founders should focus on the three points above to get their rounds closed! #founders #vc #startup #business

One step at a time, we are systematically (1) bringing together the best software tools and experts from different scientific domains, and (2) connecting them through *Luma*, our comprehensive scientific intelligence platform. We are thrilled today to welcome EasyPanel to Dotmatics (this is our 14th acquisition!) and we look forward to working together in our shared goal of providing leading software that accelerates the pace of scientific research. Big thanks to Sumit Hariawala, Gavin Chan, and Nicholas Cottrill for driving our DD and Value Creation Playbook (VCP) on this deal. Also to our friends at Willkie Farr & Gallagher LLP, Alvarez & Marsal, PwC for their support. And to each of our functional leaders for making it look easy (I know a ton goes into making each of these a success). Insight Partners Thomas Swalla Brett Ammundsen Michael Swartz Omar Abouzid MIT Sloan School of Management #SaaS #Flowcytometry #Biotech #Pharma #Acquistion #OMIC #Luma

Congrats!

Dear Friends and Partners of Blue Tree Group, Please find our quarterly update from our venture capital deal team, with a strong focus on technology and software transactions. The following insights are based on completed M&A transactions and multiple market soundings conducted between January 2024 and May 2024: M&A and Financing Trends: 1) The market for M&A and financing transactions in the VC environment has been gaining momentum since March 2024. 2) We have seen a growing number of mandates related to acquisitions and sales compared to the previous year. 3) Additionally, there is an increase in dual-track engagements combining financing with M&A. Strategic partners are becoming the focus during necessary financing rounds, with the sale of minority or majority stakes being considered as a potential option. 4) As a result, the dual-track process of Blue Tree Group has been expanded to include the step of market soundings. Valuation Trends: 5) From numerous international market soundings conducted between January and May 2024, we observe a shift in the valuation of VC-backed firms from revenue multiples to EBITDA multiples. 6) In cases of a good “product-tech buyer fit” and the prospect of profitability, our buyers in the Market Tech, Industrial Tech, and Digital Health sectors still see the possibility to value a target based on revenue. 7) Typical revenue multiples range between 6x-9x without a competitive auction process and strategic premium. The EBITDA multiples paid generally exceed 12x for tech firms. If you have questions, please feel free to reach out to one of our industry sector professionals.

Sonia Weymuller, Partner at VSQ, was featured on The Perfect Pitch podcast with Erika Masako Welch. The discussion covered a range of topics, including the evolution of VentureSouq, the motivation behind founders' decisions, investor due diligence, fostering connections with VC’s NextGen, strategic cap table management, and cultivating a robust dynamic between founders and investors.

PAI Partners to Acquire majority stake in Beautynova for €330mn In a significant move in the consumer beauty space, private equity firms PAI Partners and Bluegem Capital Partners , have announced PAI's agreement to acquire 51% of Beautynova, a leading global professional haircare platform, from Bluegem. The €330mn deal will see PAI becoming the majority shareholder with a controlling stake, while Bluegem will retain a significant shareholding alongside a syndicate of Bluegem co-investors. Headquartered in Italy, Beautynova boasts a premium portfolio of brands, including milk_shake®, z.one concept™, and Medavita. With over 18,000 formulas, it is a key developer of professional haircare products across treatment, coloring, and styling, exporting to more than 70 countries. Under Bluegem's ownership since 2020, Beautynova has witnessed remarkable growth, more than tripling its sales and expanding geographically, particularly in the US, which now accounts for 18% of its sales. With PAI's extensive experience in the Food & Consumer sector, having completed 38 buyouts in this domain since its inception, Beautynova aims to accelerate growth across its major markets, leveraging PAI's expertise to adapt to evolving consumer trends. https://lnkd.in/dkYWhvQ9 #PrivateEquity #Deals #Consumer #PersonalCare #Beauty #Europe

Swedish Private Equity Titan EQT Revives IPO Plans for Galderma In a recent report by the Financial Times, it has been revealed that Swedish private equity giant EQT is reigniting its ambitions for an initial public offering of the renowned Swiss skincare entity Galderma. Sources familiar with the matter disclosed that Galderma is gearing up for a potential IPO in Switzerland, slated for the first half of this year, with market pundits speculating a valuation in the vicinity of $20 billion for the subsidiary. The postponement of Galderma's IPO plans was attributed to a crisis of confidence gripping the banking sector. Despite the setback, Galderma successfully amassed approximately $1 billion through a private placement of shares in June. EQT's acquisition of Galderma, formerly a segment of Nestle's Skin Health division, materialized in 2019, orchestrated within an investor consortium featuring the Abu Dhabi Investment Authority and the Canadian pension fund PSP Investments. https://lnkd.in/dsBPxXyd #PrivateEquity #Consumer #IPO #HealthWellness #Skincare

McWin secures approximately 95% ownership of Sticks’n’Sushi, valuing the company at around €80 million. London-based private equity firm McWin has acquired the Japanese restaurant group Sticks’n’Sushi from Denmark's Maj Invest in a multimillion-euro deal. The Copenhagen-based restaurant group, with 27 locations across the UK, Denmark, and Germany, plans to expand into France and central Europe. This acquisition follows a trend of private equity firms reentering the hospitality sector, exemplified by Apollo Global Management's £506 million acquisition of The Restaurant Group in October. Maj Invest concludes its decade-long ownership of Sticks’n’Sushi, overseeing its transformation into an international brand with record revenues of £90 million in the fiscal year ending June 2023. Specializing in the restaurant and food technology sector, McWin manages a portfolio of over €1 billion across 15 brands, including Vapiano and Gail’s Bakery. Last year, McWin acquired a majority stake in L’Osteria and partnered with the French-owned chain Big Mamma. Despite recent industry challenges, McWin's Harry Goss expresses confidence in the restaurant sector's resilience. He believes patrons will continue dining out, and despite inflation-driven cost increases, views the past two years as an opportune time for investment. https://lnkd.in/dPT25T6Y #PrivateEquity #Consumer #Αquisition #Resraurant