Good reasons to invest in GESCO shares
Hidden champions, market and technology leaders, all in the one share
Access to technology-driven Mittelstand
The GESCO share offers you access to leading companies in Germany’s technology-driven Mittelstand. Every single company has a successful history to show for itself. All are established players in their respective target markets – and a number of them are even world market leaders. As a long-term investor, GESCO acquires successful companies in three strategically attractive segments: Process Technology, Resource Technology as well as Healthcare and Infrastructure Technology. The takeover takes place, among other things, within the framework of succession solutions, structured processes or by direct approach.
High-value, healthy substance and low balance-sheet risks
The subsidiaries of GESCO have excellent capital adequacy levels. Regular investments ensure their technological excellence. In the course of the succession arrangement, the manager has the option to take a ten to 20 per cent stake in the company, depending on its size. This crucial entrepreneurial component of the GESCO model ensures that there is a balance between the interests of all those involved: both management and GESCO SE as the majority shareholder are equally committed to the company’s long-term interests.
Long-term, attractive dividend policies
Since the IPO on 24 March 1998, investors have been participating in the commercial success of the GESCO Group through our transparent and predictable dividend policy. GESCO gears the distribution to a ratio of about 20 to 60 per cent of net income for the year after minority interest.
Growth potential based on the large number of unresolved succession issues among German SMEs
- The numerous unresolved succession issues among German SMEs offer GESCO considerable potential for external growth.
- And the issue is here to stay. Companies are founded every day; however, handing down the company within a family is becoming increasingly rare. We also achieve internal growth by further developing subsidiaries together with their respective management teams.
"NEXT LEVEL" creates Hidden Champions
With the "NEXT LEVEL" strategy GESCO has initiated a comprehensive transformation of its business model. The strategy takes the claim of the hidden champion seriously and includes excellence programmes to develop the Group's medium-sized companies to the next level.
You can find out more about NEXT LEVEL here.