Here’s a nice interview from the folks over at AltAssets with Karsten Langer, the head of origination for the Riverside Companies’ European operations. The Riverside Company is one of the premiere global PE firms, all the more impressive as they’ve built their worldwide reputation through an amazing track record in small and lower-mid cap deals. Riverside has been extremely active in 2008, with 11 deals done to date (Langer points out that this is a record high for them). As I’m a big proponent of European Small and Mid-Cap deals, I always follow this firm closely. I’ve pulled one part of the Q&A out that I thought especially relevant:
What do companies need to do to attract financing from a private equity house in this environment?
‘Essentially, the basics have not changed. Entrepreneurs and management need to focus on their business plan and adjust it as the markets they are operating in evolve. When you are in a sector such as financial services, consumer or healthcare, the services of your sector will be important and needed, no matter whether you are in an upcycle or downcycle. Companies just need to remain focused on their business plan and really understand their markets, clients and suppliers.’