Ardan Livvey Investors B.V., private investment firm headquartered in Amsterdam, the Netherlands, is pleased to announce it has completed the acquisition of a non-controlling minority stake of 3.9% of German-listed engine producer Deutz.
In line with our internal investment strategy of actively sourcing high potential but significantly undervalued targets in the European industrials space, both in public and private equity markets, we see Deutz as a singular investment case to provide us with relevant exposure to the expected cyclical rebound in several key industrial verticals in the coming years. On top of that, we believe that Deutz stands in an uniquely strategic spot to benefit from the ongoing industry transition towards electrification, alternative fuels and overall more energy-efficient engines.
In this context, we currently recognize several key aspects, both operational and financial, that need to be addressed by the company to allow it to more efficiently unlock incremental value to shareholders. In our view, despite the recent ongoing improvement, Deutz’ operational and financial performance still significantly lags that of its direct peers, presenting an unmatched opportunity for value creation to shareholders. We believe that a more proactive engagement from the current senior management of the company should contribute to the transformation of Deutz into a more profitable, higher growth and more financially sound business.
