The first investors have now joined Business Lolland-Falster’s investment company, Vextum. This means that the company has been able to establish a board of directors and has secured funds to do what it was created for: to invest in businesses with growth potential in Lolland-Falster.
20 million for investment this year
So far, eight investors have each contributed DKK 750,000 to the company, which now has a total equity of DKK 6 million. However, this is still far from the DKK 20 million that is expected to be ready to get to work during this year.
– We are holding many meetings with lawyers, accountants, and banks and have a revitalized network, and we expect to be ready for the first investments this year, says Steffen Lund, director of Vextum, when FemernReport meets him at the general meeting of Business Lolland-Falster on Thursday.
Also present is Vextum’s chairman of the board, Bo Wilchen-Pedersen. He explains that Vextum is currently on the lookout for the perfect initial investment:
– It is very positive, and we have some positive indications. And when the right case is there, we are ready with investments, says Bo Wilchen-Pedersen.
Eye on successions
Initially, Vextum is focused on businesses facing a generational change or similar situations that may require additional capital. They have identified a couple of such cases, and the first investment case is close:
– We have our eyes on a very exciting generational change. The first investment sets the tone, so it has to be the right one, says director Steffen Lund.
No startups and no operations
Vextum aims for investments in the range of DKK 3 to 5 million at a time and an ownership share of between 20 and 49 percent. It is Vextum’s own equity that is invested, so there must be prospects of making a profit on the investments. Specifically, the ambition is a return of around ten percent on the investments.
This also means that Vextum will not initially invest in startups, as these typically involve smaller investments. Moreover, Vextum will not be active in the operations of the businesses in which it invests.
At the launch of Vextum in November, Business Lolland-Falster announced that the ambition is for Vextum to have a three-digit million amount in risk capital for investments by 2026.
