"Alter Capital selects Andalusian companies to invest €100 million by 2024"
Alter Capital prepara un nuevo fondo para invertir hasta 100 millones en pymes andaluzas
Alter Capital, the first private equity management firm to be established in Andalusia, is working on the launch of a new fund for which it already has a portfolio of 70 Andalusian companies in which it plans to invest up to €100 million over the 2023 and 2024 financial years.
This was confirmed to this newspaper by its majority partner, Ángel González Bravo, who noted that “these are already pre-identified opportunities” in which the firm can begin investing as soon as the new investment vehicle currently under development is formally constituted.
Acquisition by Ángel González Bravo and Consolidation in Andalusia
Alter Capital was founded in Catalonia in 2000, as a venture capital manager specializing in regional investment funds.
González Bravo acquired the firm in 2013 and relocated its registered office to Seville, thereby positioning it as a specialist in private equity investment within the autonomous community. One of the pre-existing partners, Juan Enrique Martínez de Tejada Domenech, chose to remain in the project with a minority stake in the management company. The majority partner already had extensive sector experience, having developed his professional career at Ahorro Corporación Desarrollo, the savings banks’ investment fund, which in Andalusia held stakes in companies such as Persán and Cervezas Alhambra.
Since the relocation of Alter Capital to Seville, the management firm has overseen two funds established by the IDEA Agency and a third promoted by the Instituto de Crédito Oficial (ICO), the latter launched last year with nationwide scope.
Performance of the Alter Cap II Fund: Clever Global, Clínica de la Salud, and Dental Company
The first fund awarded to the Seville-based management firm by the Agencia IDEA, known as Alter Cap II, invested in three Andalusian SMEs: Clever Global, Clínica de la Salud, and Dental Company. This portfolio was later acquired by the British fund Headway, which injected an additional €10 million into the three companies on top of the initial acquisition and decided to keep Alter Capital as the portfolio manager.
Of the three, Alter Capital currently retains two, since the Cádiz-based clinic was sold to the healthcare group HLA after a period of investment and asset enhancement that met the established return expectations. Clever Global closed 2022 with revenues of €8.5 million and an EBITDA of €2.7 million. Dental Company generated €44 million in revenue across its network of dental clinics, 55% of which are owned centers and 45% franchised. The franchisor company posted an EBITDA of €2.7 million.
Alter Cap Andalucía: Investments in Kampaoh, Wuolah, and El Tortillón
The firm was also awarded a second fund promoted by the Regional Government of Andalusia through the Agencia IDEA, structured with €10 million of public capital and an additional €5 million from private investors. This fund, Alter Cap Andalucía, has likewise invested in three companies: Kampaoh – the national leader in nature-based tourist accommodation; Wuolah – a university notes-sharing and training platform with 500,000 monthly users; El Tortillón – a prepared-food manufacturer based in Palma del Río, supplying major retail chains such as Carrefour, Grupo MAS, Covirán, and El Jamón.
The fund is about to close a fourth investment. So far it has covered 50% of its capital and has selected opportunities to cover 100% of the investment before the end of this year.
Alter Cap Ventures: National Fund Backed by ICO
Since mid-2022, the firm has managed Alter Cap Ventures, a national fund backed by the Instituto de Crédito Oficial (ICO) to support SMEs across Spain. The vehicle was established with €34 million, split 50/50 between ICO and several family offices. A second closing is underway to expand the fund size to €50 million.
The first investment of this fund has been precisely in Kampaoh, an Andalusian SME to which it has granted a participatory loan of five million, in a round that in total reached 10 million.
Alter Capital’s Expansion: Madrid Office and Team Growth
The constitution of this national fund led Alter Capital to open an office also in Madrid, on Serrano Street. The manager currently has 12 employees - nine in Seville and three in Madrid - a figure that it plans to expand with the constitution of a fourth fund for which it already has a portfolio of 70 Andalusian SMEs in which to invest up to 100 million between 2023 and 2024.
