Background
- OTTO Luft- und Klimatechnik GmbH & Co. KG (OTTO) is one of the leading companies for technical building services, facilities management, industrial cooling technology and energy services in Germany
- As of 2018, the company generates annual revenues of approximately €120 million and employs 700 people, including a high proportion of technical and assembly staff
- Equistone acquired its majority shareholding in the family-owned business in 2014, with Hartmut Otto Jr. remaining invested in the business as son of the founder. As a reliable partner with access to capital, Equistone worked with management to successfully extend the company’s growth trajectory during its investment period
- The business strengthened its presence through the opening of multiple new locations in Germany. In addition, OTTO continuously outperformed market growth, increasing revenues and output by more than 50% and doubling employee count in a technical skills-based market, whilst still retaining the “Mittelstand” company culture characterised by responsibility to, and trust between, colleagues and customers
Outcome
- The transaction illustrates DC Advisory’s long-standing experience in the building technology and related services sector and underlines our strong access to corporate investors and the expertise in successfully completing cross-border transactions
- The financial terms of the transaction are undisclosed and completion of the sale remains subject to the approval of the relevant competition authorities
OTTO’s unique family culture and long-term orientation enables the company to attract, develop, and retain highly skilled employees. Together with its commitment to delivering best quality, OTTO has been able to grow above market.
A growing complexity within technical building installations, rising energy efficiency standards, and a growing demand for air solutions will provide a prosperous future for OTTO.
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Deal Announcement