Every day counts - Deutsche Beteiligungs AG

IX. Events subsequent to the closing date
After the close of the 2001/2002 financial year, two new investments at acquisition
costs of 21.9 million were added to the portfolio; these relate to the management buyout
of Babcock Borsig Service GmbH and Preh GmbH. There were disposals and partial
disposals amounting to 10.8 million euros. Of this, the largest amount is attributable to
the sale of Victorvox AG.
X. Outlook
Following the pronounced economic weakness this past financial year, indications of
a resurgence of the world economy are emerging with new impulses for demand arising
particularly in countries outside Germany. The sentiment on equity markets has taken a
turn for the better, as prices rise due to investors’ greater willingness to take risks. Furthermore,
there are signs of increasing activity on the M&A market. The private equity
market and mid-market transactions – the key segment on which Deutsche Beteiligungs
AG is focused – stand to profit from these favorable developments. The larger number
of transactions completed in the calendar year of 2003 attests to this. Three management
buyouts were contracted, whereas only one transaction was completed in each of the
two preceding years.
In light of the long years of economic slowdown and of structural aspects, there is
uncertainty about the magnitude of business recovery, particularly in Germany. Against
this backdrop and in view of the development in private equity’s mid-market segment
as well as the quality of the existing portfolio, we are, nevertheless, confident that
Deutsche Beteiligungs AG will exhibit positive progress.
Frankfurt am Main, December 2003
Deutsche Beteiligungs AG · Annual Report 2002/2003
Management’s Report
Deutsche Beteiligungs AG is
well poised
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