Atrium Agri is a group of greenhouse construction companies, born from the merger of seven leading players, each bringing their own specialism or region. To meet the growing demand for locally produced food, an increasingly larger share of global food production will take place in greenhouses. The underlying companies were already active internationally, but by bringing all shares under one group, they were truly able to leverage each other's knowledge and network.
After a series of challenging years, in which COVID, high energy prices, and rising interest costs significantly reduced global investments in greenhouses, the group sought a new impulse: shareholders who look at the company with a financial perspective.
The challenge
The founders initially formed the group without private equity. Three years after the merger, they came to a different decision. A hands-on financial investor could actually add value: by promoting collaboration between the companies within the group, by providing more insight into financial performance, and by bringing the creativity that the situation at that moment required.
The group was still strongly driven by the individual founders of the underlying companies, and banks were also involved in the process. Each stakeholder had their own wishes. Particularly in a situation with short-term uncertainty and confidence in the long-term perspective of the company and the market, bringing all those wishes together is a difficult task.
Beyond the deal
We have always put one thing first in this process: the interest of the company. Where interests diverge, that is the only standard that remains sustainable. We put the wishes of the various stakeholders together like puzzle pieces, with open communication as a prerequisite. By continuously keeping parties informed, they gained an understanding of each other's standpoints.
The process resulted in an investment by VE Partners in Atrium Agri, in which the existing shareholders also reinvested in the company. In doing so, the group combines the market knowledge and network of the founders with the financial strength and support of a private equity partner.
The value of sector knowledge
Greenhouse horticulture faces significant investments due to increasing demands in the areas of sustainability and efficiency. On top of that come labor shortages, volatile energy prices, and stricter regulations. Consequently, the need for scale and financial strength is increasing across the entire sector.
This transaction shows that an external investor or a strategic partnership can be a way for companies in this sector to continue investing in innovation, growth, and sustainability, even when the market faces short-term setbacks.
