Are Spice Traders the Next Fallen Stars?
In my first full-time job at a German multinational back in 1995, I found myself smuggling cayenne powder into the canteen to enliven the otherwise
In my first full-time job at a German multinational back in 1995, I found myself smuggling cayenne powder into the canteen to enliven the otherwise
Last week, the European Central Bank (ECB) cut the key interest rate from 4.5% to 4.25%. But what does this mean for the German housing
What shall we do in this environment? War in Ukraine, high inflation, supply chain problems, energy crisis … ? I get this question asked more
In March we mark our 15 year anniversary advising foreign clients on doing deals in Germany. We meanwhile count more than 11000 individuals from >90 countries who have been in touch with us on some investment opportunity in the past. Frankly, most of these have had a romantic view about German business acquisitions. Some romantics are still on this mailing list. I am also a romantic business person and therefore, let me help you with a few lines. There are many good reasons why buying a German company makes sense. Valuation of German businesses is still lower than in other parts of the world, most notably USA, China and India. There are plenty of world class technology products designed and sold in Germany. However, there are also many German or local investors hunting for the same good deals that foreigners want. Therefore, for people living far away distance can be a big hurdle. Recently, I had a call from a billion-USD fund from Alaska who thought investing in Germany is a good idea. Professional, serious people. Some of the deals
Last Friday someone wished me a Happy New Year. To me it feels more like Happy Old Year. The first month has virtually passed and everything continues as it was the last 6 months. Inflation has risen in Germany to highest level (5.3%) since 1993 (5.8%) and corporate transactions are at all time high. Will it continue? Instead of creating a wave of insolvencies (my expectation in 2020 – I am a bad prophet) Corona has lead to pretty much the opposite. Most businesses (in Germany) in our monitoring had a bumper year. What does this mean for corporate acquisitions in Germany? Inflation generally impacts negatively on valuation of companies. Some of these effects can already be seen on German stock exchange, which dropped by about 10% this month until Thursday (recovered a bit meanwhile). My personal observation from speaking to many German companies is that almost everyone has either increased or plans to increase prices. Most complain about shortage of labor. I think inflation is going to last for next 5 years at significantly higher levels than in the past 10 years. Let me know what you think about price increases in your company and
Today, I had an interesting conversation with an MD of a large German electronics group. He said, one of the biggest challenges in the last
I hope you started well into the year and I wish you, your family and your team a healthy, prosperous and happy year 2021! After
In Germany, international M&A / finance transactions among SMEs have decreased by around 80%. This was the result of our evaluation of approx. 3000 international
As you know FaMAS screens hundreds of transaction per year and communicates with thousands of M&A professionals. Corona impacted in many ways how M&A and
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