Atrium Agri is a group of greenhouse construction companies, born from the merger of seven leading players, each bringing their own specialty or region. To meet the growing demand for locally produced food, an ever-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 new momentum: shareholders who look at the company from 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
Throughout this process, we consistently put one thing first: the interests of the company. Where interests diverge, that is the only yardstick that holds up. We fitted the wishes of the various stakeholders together like puzzle pieces, with open communication as a prerequisite. By keeping all parties continuously informed, we helped them understand each other's positions.
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.
