Looking for insights about Multiples in Germany

searcher profile

June 07, 2023

by a searcher from Baden-Württemberg Cooperative State University in Berlin, Germany

Hi all,

I am looking to gain deeper insights into current multiples in Germany. The goal is to understand how multiples are currently affected by company type, size, EBIT, etc. Anonymized company names are okay.

Does anyone know databases (like BVR transactions), research papers, or similar sources?

Happy to compile a list and share it afterward with the community.

Thanks! Paul

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commentor profile
Reply by an investor
from European Business School in Cologne, Germany
Hi Paul, I think your question is too broad to answer it straight away with a raw number. As in other geographies the biggest influence on valuation multiples is size, followed by business model, industry, margins and growth, in no specific order. Typical search fund deals are in a range of 3x-8x EBITDA, depending heavily on the aforementioned factors. When negotiating a deal, financing options also influence the potential purchasing price. Did that answer your question?
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Reply by a searcher
from ESSEC Business School in Düsseldorf, Germany
Hi Paul - adding my 5 cents. Recently I spoke with a mid size regional bakery in the north of Germany. They announced the sales at 6X - that said, after digging a bit, a deal would close around 4X.

If you dig around in the Next-Change (https://www.nexxt-change.org/DE/Startseite/inhalt.html) you mind find some interesting information.
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