Portfolio Acceleration

A mid-market private equity firm with €2.5B under management was facing inconsistent performance across its portfolio of eight companies. While some portfolio companies were delivering strong EBITDA growth, others were missing targets by significant margins. The firm lacked a standardised approach to value creation, relying instead on each company's management team to self-direct improvement efforts.

We developed a standardised Value Creation Playbook tailored to the firm's investment thesis and portfolio profile. The playbook encompassed four value levers: commercial excellence, operational efficiency, talent optimisation, and strategic add-ons. We created diagnostic tools to rapidly assess each portfolio company's improvement potential and prioritise initiatives by impact and feasibility.

We deployed the playbook across all eight portfolio companies over a 12-month period. Each company underwent a 4-week diagnostic, followed by a 90-day sprint to capture quick wins and build momentum. We established a portfolio-wide performance dashboard providing the investment team with real-time visibility into value creation progress. Monthly peer benchmarking sessions created healthy competition and cross-pollination of best practices.

The programme delivered an average 380 basis points of EBITDA improvement across the portfolio. Two companies achieved successful exits at valuations 25% above initial projections. The Value Creation Playbook has been institutionalised as the firm's standard operating methodology for all new acquisitions.