Investment & Fund Management
European Investment Fund Partner
Full Credential Description
Utimaco, a leading provider of cyber security and compliance solutions based in Aachen, Germany, faced significant challenges in scaling its operations and enhancing its market presence. The company specialized in lawful interception management systems and data retention solutions, which are critical for telecommunications and internet service providers. However, to maintain its competitive edge and meet the growing demand for its hardware security modules, Utimaco needed to streamline its internal processes and expand internationally.
To address these challenges, Utimaco partnered with PINOVA Capital, a Munich-based private equity firm focused on high-growth SMEs. In 2013, PINOVA Capital, along with other equity co-investors and NRW.BANK as a mezzanine provider, acquired Utimaco and supported its management team in a spin-out from its former parent company. This partnership provided Utimaco with the necessary financial resources to grow and allowed PINOVA Capital to assist in restructuring the companys operations, transforming its two main business lines into independent legal entities.
As a result of these tailored solutions, Utimaco experienced substantial growth during the holding period of PINOVA Capital. The company increased its workforce from 87 to 128 employees within three years, reflecting its successful expansion and operational improvements. Additionally, Utimaco marked a significant milestone by opening a subsidiary office in Silicon Valley in 2014, further solidifying its international presence. The strategic partnership and investment from EIF also played a crucial role in supporting PINOVA Capital's fundraising efforts, leading to continued investment in Utimaco's future growth through the successor fund, PINOVA II.