Eric Chinchon and Alexandre Malaspina (Mebs), Morgan Latessa (Onud Group): Unlocking Value in Luxembourg's SME Market: A Fresh Perspective in a Changing Environment
In the ever-changing landscape of business, Mebs is consistently adapting its service offerings to meet the needs of the market and its key client segments. This article delves into the company's recent evolution into servicing quality local SMEs, the attractiveness of this market, and how Mebs aims to help Onud Group a prominent family-owned business reach its full potential.
Why has Mebs evolved into servicing local SMEs?
Mebs is partnering with quality SMEs in response to the growing potential and unique opportunities materializing in this market. Recognizing the appeal of SMEs with recurring revenues and robust cash flow generation, Mebs has adapted its services and expertise to better address their specific short- and long-term needs, aiming to develop their full potential and assist them expand across or into new markets. This transition allows Mebs to tap into an otherwise underserved market, as local SMEs are often overlooked by providers and investors, due to their local presence and assumed limited scalability (especially when not reliant on tech solutions). This “status quo” undervalues proven entrepreneurs and family businesses, while investment professionals look for value solely on new, high growth, but high-risk ventures, which still have all to prove. By assisting local SMEs in developing new solutions and entering the world of PE funding, Mebs aims to enhance their market appeal, unlock their true value, and simultaneously diversify its own client portfolio.
“Mebs aims to foster lasting impacts on both the SME landscape and the company's own growth trajectory”
Who is Onud Group? And what makes this company potentially attractive to private equity investors?
Onud Group is a provider specializing in real estate promotion, renovation (interior and exterior), and annex cleaning services, founded in 2003, it’s a second-generation family-owned business group with a solid reputation for delivering high-quality services and a proven track record in the Benelux region. The company's team of highly skilled professionals ensures top-notch services, attention to detail, and effective project management. These qualities, combined with the potential for continued growth in both B2B and B2C segments across diverse revenue streams, a strong customer-centric approach, and positive cash flow generation capabilities, make Onud Group an ideal investment opportunity for those seeking long-term value and returns. For instance, their new renovation activity alone grew from 370K revenue in 2021 to 620K in 2022 and is on track to exceed 1M+ in 2023, thanks to a strong backlog of orders and conscientious project management, ultimately boosting strong earnings even in this challenging economic context.
How can Mebs help Onud Group?
Mebs will help Onud Group by leveraging its expertise to unlock the company's full potential. Mebs' deep industry knowledge and extensive affiliate networks enable them to identify and assess key variables affecting Onud Group's business, manage risks as well as capitalize on opportunities. Mebs will also assist Onud Group in raising capital, helping them expand operations while identifying the right counterparties for sustainable growth. Through tailored solutions, Mebs ensures complete transparency, addressing key issues, and aligning with its clients’ long-term goals and budgets. By partnering with Mebs, Onud Group gains access to strategic guidance and support, empowering them to make informed decisions and achieve their objectives with confidence, both locally and internationally.