Conditional on strategic value creation for Bekaert, investment proposals are subject to standard financial analysis similar to venture capital pursuing financial return.
In our investment strategy we seek win-win partnership opportunities with start-up companies by creating value to Bekaert and putting our investment capital, experience, and broad asset base at work in assisting those companies to become successful.
Bekaert Ventures is looking to invest in innovative companies that are able to provide strategic growth options in the existing business segments of Bekaert as well as long-term financial returns.
We have specific interest in the following industries:
We also consider investments that help reducing Bekaert's ecological footprint further. These may include the use of new materials or technologies to:
- Increase process performance while reducing energy consumption and the overall environmental impact.
- Replace certain chemicals and lubricants by more eco-friendly solutions with similar or improved properties.
- Reduce the amount of waste streams.
Bekaert Venturing invests globally in early-stage technology companies with world-class innovations that provide strategic options to advance or complement our core competences.
The start-up companies have entrepreneurial teams and a strong business model featuring financially attractive returns. They are keen to collaborate with Bekaert in a win-win partnership.
We usually seek investments in the early-stage financing comprising of minority preferred equity participation with the opportunity to actively support through board (observer) representation.
Typically, we invest in stages with follow-on investments based on the achievement of milestones. The investments can be direct as a lead investor, or co-invest alongside industry leading venture capital firms or other corporate-strategic investors.
Bekaert Venturing uses a stage-gate approach to evaluate a potential investment in a start-up company.
The investment process consists of:
- Initial screening by the investment manager to assess the fit with our investment strategy and alignment with the business platforms.
- Invite the start-up to present the business plan which should include: (i) management team, (ii) product and value proposition, (iii) business model, (iv) financial framework, (v) IP protection.
- The positive evaluation and identification of an internal sponsor will trigger the due diligence process and the definition of the term sheet conditions.
- Investment decision by the Bekaert Venturing advisory board and closing.
- Active involvement with the start-up company to maximize the value creation.