Welcome to Lennertz & Co.

mho. FRANKFURT. Family offices (or rather, multi-family offices) manage large assets, usually for businesses. Private equity – as a direct investment in companies – is therefore more or less a natural investment form of their clientele. The fact that it promises higher returns due to the low liquidity makes it even more attractive for the clients. It is no wonder then that many family offices have ratcheted up their activity in the past few years. Mainly in America, however, they have been relying less and less on the services of private equity funds. Instead, they have meanwhile started managing more than half of their investments on their own. Yet this is not yet as widespread in Germany. Lennertz & Co. of Hamburg is one office that has ventured to make own investments for its clients. “Many business families in Germany often only have liquid assets in addition to their companies and properties. This is the result of traditional bank consultation,” says founder Philipp Lennertz. “We want to introduce them to illiquid investments as well.” Naturally, this is not without investments in traditional private equity funds – but own investments are included as well. With Lennertz, clients do not necessarily have to take a back seat in such endeavors. Last summer, most of this was done using the special online dealer, including for Stein HGS, a provider of barrier technology and construction site and operational requirements based in Seevetal, Germany. The clients do not gain direct ownership with this, as it is via a fund and trust structure instead. “After we sold our first investment in brillen.de, our clients still had to undertake many subsequent certifications. The process is simpler via a trustee,” says Lennertz. Business is not any easier right now because of the corona crisis. “Our clients tend to see this in one of two ways. On the one hand, they are concerned about the health aspects and woes of small independent businesses, while they see opportunities that are useful for them even with their capital on the other.” Even for entrepreneurs if they were to see possibilities of acquiring one or more companies below fair value, thereby being opportunities that could pay off in a few years. “When we invest in a company, we give the previous owners the option of re-investing in order to profit from the future further development of the company.” The sellers then invest part of the purchase price to invest in the acquiring company. All in all, Lennertz is optimistic in the current crisis for other reasons as well. Central banks and policies are acting with greater resolve than ever, and that will have a positive effect. “I am absolutely certain that we will rise up out of the misery we’re in very quickly,” the asset manager believes.

About Lennertz & Co. Lennertz & Co. is an owner-run family office with a clear focus on developing and increasing the value of its clients’ assets. This is achieved by constantly reviewing in depth their specific family, corporate and portfolio circumstances and taking the legal and tax framework into consideration.Investment recommendations match clients’ personal preferences. They benefit from the independence of Lennertz & Co. in assessing and selecting investment opportunities and discreetly putting them into practice. As an entrepreneurial multi-family office, Lennertz & Co. shares the aspirations of its clients to take rapid, well-founded and secure decisions. The Lennertz & Co. Family Equity Fund has an expert team with many years of experience to analyse in depth on behalf of clients the opportunities which arise in the private equity segment. Team members and advisers formerly worked for Bain Capital, Bain Consulting, BC Partners, Capiton, EMC, Goldman Sachs, McKinsey, MIG, Roland Berger, Swift Capital and 3i. There is also an advisory board comprising well known industrial and private equity experts such as Heinrich von Pierer, Klaus Wucherer, Stefan Theis, Daniel Milleg and Florian Heinemann.

mho. FRANKFURT. Family offices (or rather, multi-family offices) manage large assets, usually for businesses. Private equity – as a direct investment in companies – is therefore more or less a natural investment form of their clientele. The fact that it promises higher returns due to the low liquidity makes it even more attractive for the clients. It is no wonder then that many family offices have ratcheted up their activity in the past few years. Mainly in America, however, they have been relying less and less on the services of private equity funds. Instead, they have meanwhile started managing more than half of their investments on their own. Yet this is not yet as widespread in Germany. Lennertz & Co. of Hamburg is one office that has ventured to make own investments for its clients. “Many business families in Germany often only have liquid assets in addition to their companies and properties. This is the result of traditional bank consultation,” says founder Philipp Lennertz. “We want to introduce them to illiquid investments as well.” Naturally, this is not without investments in traditional private equity funds – but own investments are included as well. With Lennertz, clients do not necessarily have to take a back seat in such endeavors. Last summer, most of this was done using the special online dealer, including for Stein HGS, a provider of barrier technology and construction site and operational requirements based in Seevetal, Germany. The clients do not gain direct ownership with this, as it is via a fund and trust structure instead. “After we sold our first investment in brillen.de, our clients still had to undertake many subsequent certifications. The process is simpler via a trustee,” says Lennertz. Business is not any easier right now because of the corona crisis. “Our clients tend to see this in one of two ways. On the one hand, they are concerned about the health aspects and woes of small independent businesses, while they see opportunities that are useful for them even with their capital on the other.” Even for entrepreneurs if they were to see possibilities of acquiring one or more companies below fair value, thereby being opportunities that could pay off in a few years. “When we invest in a company, we give the previous owners the option of re-investing in order to profit from the future further development of the company.” The sellers then invest part of the purchase price to invest in the acquiring company. All in all, Lennertz is optimistic in the current crisis for other reasons as well. Central banks and policies are acting with greater resolve than ever, and that will have a positive effect. “I am absolutely certain that we will rise up out of the misery we’re in very quickly,” the asset manager believes.

About Lennertz & Co. Lennertz & Co. is an owner-run family office with a clear focus on developing and increasing the value of its clients’ assets. This is achieved by constantly reviewing in depth their specific family, corporate and portfolio circumstances and taking the legal and tax framework into consideration.Investment recommendations match clients’ personal preferences. They benefit from the independence of Lennertz & Co. in assessing and selecting investment opportunities and discreetly putting them into practice. As an entrepreneurial multi-family office, Lennertz & Co. shares the aspirations of its clients to take rapid, well-founded and secure decisions. The Lennertz & Co. Family Equity Fund has an expert team with many years of experience to analyse in depth on behalf of clients the opportunities which arise in the private equity segment. Team members and advisers formerly worked for Bain Capital, Bain Consulting, BC Partners, Capiton, EMC, Goldman Sachs, McKinsey, MIG, Roland Berger, Swift Capital and 3i. There is also an advisory board comprising well known industrial and private equity experts such as Heinrich von Pierer, Klaus Wucherer, Stefan Theis, Daniel Milleg and Florian Heinemann.

Hamburg family office Lennertz & Co. is acquiring the established fund of funds specialist for US technology funds BPE Fund Investors, also from Hamburg. Since 2001 the management team of Dr Andreas Odefey, Aman Miran Khan and Arne Fiederling at BPE Fund Investors have built up a network giving exclusive access to the top names in US technology funds. Over that period German institutional investors and high net worth individuals have subscribed to three funds of funds investing in pioneering venture capital funds in the USA such as Bain Capital Ventures, Canaan Partners, Khosla Ventures, Kleiner Perkins, NEA and TCV. This meant investors had a stake at a very early stage in companies like Beyond Meat, Facebook, FitBit, Netflix, Square, Twitter, Tesla and Workday, with corresponding profits from the massive increase in the value of these firms.

“BPE Fund Investors have worked hard to build an extremely robust bridge from Hamburg to the attractive venture capital market in the USA. We look forward to continuing the existing BPE Fund Investors funds of funds under the Lennertz & Co. banner,” says Philipp Lennertz, managing partner at the Hamburg family office Lennertz & Co. “Disruptive technologies are mainly financed in the USA and still offer great growth potential, for instance in artificial intelligence, big data, digital health, precision medicine, connectivity and consumer behavior,” says Dr Odefey of BPE Fund Investors. “As a succession solution for our company, we strongly believe that the Hamburg family office will continue to tap into the potential offered by the US venture capital industry, which BPE Fund Investors feels is considerable over the long term,” comments Dr Odefey.

Arne Fiederling, managing director at BPE Fund Investors, is joining the team at Lennertz &Co. He will ensure continuity in running the existing BPE funds and will also work with the expert team at Lennertz & Co. on further developing the fund of funds concept. Just like Mr Fiederling, the team at Lennertz & Co. boast many years of experience in venture capital and private equity gained at firms such as Bain Capital, BC Partners, Goldman Sachs, McKinsey and Swift Capital.

“The acquisition of BPE Fund Investors marks a successful and targeted expansion of our existing alternative investments platform for clients,” states Mr Lennertz. Just a few weeks ago the family office set up the Lennertz & Co. US Venture and Growth Fund I for its clients. This fund of funds is aiming to have a portfolio consisting of at least 70% US early stage and growth capital funds. A maximum of 30% will be allocated to direct and co-investments. Holding several funds will also provide broad diversification, with stakes in more than 100 portfolio companies. The product will be investing in funds from well known firms such as Horowitz, FirstMark, Insight Partners, Kleiner Perkins and NEA.

In addition to the ability to put money into major US venture capital funds, clients can also take positions in European VC funds. They can further gain exposure to German and European small and midcap companies through the Lennertz & Co. Family Equity Fund. Access to pre-IPO investments completes the offering on the platform. In the recent past Lennertz & Co. has invested on behalf of clients in such companies at Pinterest, Airbnb, 23andMe and Meituan.

About Lennertz & Co. Lennertz & Co. is an owner-run family office with a clear focus on developing and increasing the value of its clients’ assets. This is achieved by constantly reviewing in depth their specific family, corporate and portfolio circumstances and taking the legal and tax framework into consideration.Investment recommendations match clients’ personal preferences. They benefit from the independence of Lennertz & Co. in assessing and selecting investment opportunities and discreetly putting them into practice. As an entrepreneurial multi-family office, Lennertz & Co. shares the aspirations of its clients to take rapid, well-founded and secure decisions. The Lennertz & Co. Family Equity Fund has an expert team with many years of experience to analyse in depth on behalf of clients the opportunities which arise in the private equity segment. Team members and advisers formerly worked for Bain Capital, Bain Consulting, BC Partners, Capiton, EMC, Goldman Sachs, McKinsey, MIG, Roland Berger, Swift Capital and 3i. There is also an advisory board comprising well known industrial and private equity experts such as Heinrich von Pierer, Klaus Wucherer, Stefan Theis, Daniel Milleg and Florian Heinemann.

Lennertz & Co. can provide its clients with access to attractive and frequently exclusive investment opportunities in various asset classes. One such example is pre-IPO investments in US companies. “Nowadays young companies are financed by private sources of capital for much longer than they used to be. As a result, companies heading for the stock exchange see a disproportionate increase in value during the period before the listing rather than after the IPO,” is the conclusion of Philipp Lennertz, managing partner at Lennertz & Co, and his team of analysts.

“So we aim to make focused investments in companies that will go public over a three to four year time frame, since that’s the period a great deal of value is created,” says Mr Lennertz. Observers have noted that the share price of newly listed companies is particularly volatile in the first year after the IPO. An additional factor making these investments attractive is the short to medium term holding period, since stakes in newly listed companies are often only locked up for six months after the IPO and can then be sold at a profit. “We look at companies in depth, and only offer our clients a chance to get on board if we are totally convinced by the project and co-invest ourselves,” explains Mr. Lennertz.

Its entrepreneurial approach has made the Hamburg family office the preferred business partner in Germany for leading international firms in the pre-IPO market. Lennertz & Co. first offered its clients access to the pre-IPO market three years ago through the US company Pinterest, the popular social network which allows individuals and companies to post pictures with descriptions and thoughts on a virtual pinboard.

Other holdings have been pre-listing positions in e-commerce platform Leituan, ridesharing company Lyft, DNA specialist 23andMe, logistics expert Flexport, online training firm Coursera and holiday lettings platform Airbnb.

About Lennertz & Co.

Lennertz & Co. is an owner-run family office with a clear focus on developing and increasing the value of its clients’ assets. This is achieved by constantly reviewing in depth their specific family, corporate and portfolio circumstances and taking the legal and tax framework into consideration.Investment recommendations match clients’ personal preferences. They benefit from the independence of Lennertz & Co. in assessing and selecting investment opportunities and discreetly putting them into practice. As an entrepreneurial multi-family office, Lennertz & Co. shares the aspirations of its clients to take rapid, well-founded and secure decisions. The Lennertz & Co. Family Equity Fund has an expert team with many years of experience to analyse in depth on behalf of clients the opportunities which arise in the private equity segment. Team members and advisers formerly worked for Bain Capital, Bain Consulting, BC Partners, Capiton, EMC, Goldman Sachs, McKinsey, MIG, Roland Berger, Swift Capital and 3i. There is also an advisory board comprising well known industrial and private equity experts such as Heinrich von Pierer, Klaus Wucherer, Stefan Theis, Daniel Milleg and Florian Heinemann.

A private equity fund sponsored by Hamburg family office Lennertz & Co. is acquiring a majority stake in specialist online trader Stein HGS of Seevetal near Hamburg through a management buyout. Current CEO and founder Bodo Stein is selling his shares and will reinvest in the transaction. After a transitional period he will move onto the company’s advisory board. In future Stein HGS will be run by Stephan Otte, the long-standing second managing director of the specialist online trader. The parties have agreed to disclose no further details of the transaction.

Stein HGS was founded in 1999 and is a fully digital specialist provider of barrier systems, construction site and operations products, signage, street furniture and traffic technology. The company’s unique selling proposition is the combination of a broad range, professional technical advice, rapid availability and the ability to customise products. Stein HGS has been growing at a double-digit rate since 2014 and in 2018 achieved EUR 12 million in revenue with 25 employees and an attractive EBIT margin.

“After 20 very successful years running Stein HGS, the time has come for me to arrange a well chosen succession at the top of the company. I am delighted to have found a partner with the strong financial backing to allow my employees to continue along the current high-growth trajectory under the leadership of Stephan Otte,” says the present CEO Bodo Stein. “Stein HGS has considerable potential to seize the many opportunities in a fragmented niche market over the next few years,” adds Philipp Lennertz, co-owner of Hamburg family office Lennertz & Co., whose Family Equity Fund is investing in Stein HGS.

Bodo Stein will in future be a member of the advisory board along with Klaus Trützschler, who served for many years on the management board of Haniel and chaired the supervisory board of Takkt, a successful group of B2B specialist mail order traders. Further CRM and online specialists will join the advisory board in due course.

About Lennertz & Co.

Lennertz & Co. is an owner-run family office with a clear focus on developing and increasing the value of its clients’ assets. This is achieved by constantly reviewing in depth their specific family, corporate and portfolio circumstances and taking the legal and tax framework into consideration.Investment recommendations match clients’ personal preferences. They benefit from the independence of Lennertz & Co. in assessing and selecting investment opportunities and discreetly putting them into practice. As an entrepreneurial multi-family office, Lennertz & Co. shares the aspirations of its clients to take rapid, well-founded and secure decisions. The Lennertz & Co. Family Equity Fund has an expert team with many years of experience to analyse in depth on behalf of clients the opportunities which arise in the private equity segment. Team members and advisers formerly worked for Bain Capital, Bain Consulting, BC Partners, Capiton, EMC, Goldman Sachs, McKinsey, MIG, Roland Berger, Swift Capital and 3i. There is also an advisory board comprising well known industrial and private equity experts such as Heinrich von Pierer, Klaus Wucherer, Stefan Theis, Daniel Milleg and Florian Heinemann.

A suitable weighting in real estate forms a normal part of a balanced portfolio. “Many properties in attractive locations are extremely highly valued right now, so it often no longer makes sense for wealthy families to keep their money in investment or commercial real estate,” explains Oliver Piworus, managing partner at Lennertz & Co. However, the co-owner of the Hamburg family office sees investing in promising development projects as an attractive alternative way of continuing to benefit from rising real estate prices.

“Essentially, development projects offer investors the opportunity to participate in the value chain of a property at an early stage. But you have to always focus on the balance of risks and rewards,” says Mr Piworus. That is why the Hamburg family office avoids most standard concepts in the market, which tend to be structured so the developer puts up a relatively small amount of equity, while most of the capital to realise the project is provided by investors in the form of mezzanine financing. In return for their loan, investors receive a normal market rate of interest on the capital employed, in the low single digits.

The imbalance in this structure is obvious: the developer gets most of the potential upside in a project. And if something goes wrong, the lender faces a much greater risk of loss than the sponsor. “So we only invest jointly with developers who have a special niche and put up a large share of the equity themselves. That way, the risks and rewards for our clients in terms of capital gain or loss are balanced,” comments Mr Piworus.

For instance, Lennertz & Co. has a special market niche with a developer for luxury properties. Four projects have now been launched for clients. “Our chalets set the highest standards for alpine architectural design and luxurious comfort in exceptional locations,” says Oliver Piworus, managing partner at Lennertz & Co. Demand for the properties is further helped by the fact that the furnishings and marketing for the projects involve cooperations with star designers.

About Lennertz & Co. Lennertz & Co. is an owner-run family office with a clear focus on developing and increasing the value of its clients’ assets. This is achieved by constantly reviewing in depth their specific family, corporate and portfolio circumstances and taking the legal and tax framework into consideration.Investment recommendations match clients’ personal preferences. They benefit from the independence of Lennertz & Co. in assessing and selecting investment opportunities and discreetly putting them into practice. As an entrepreneurial multi-family office, Lennertz & Co. shares the aspirations of its clients to take rapid, well-founded and secure decisions. The Lennertz & Co. Family Equity Fund has an expert team with many years of experience to analyse in depth on behalf of clients the opportunities which arise in the private equity segment. Team members and advisers formerly worked for Bain Capital, Bain Consulting, BC Partners, Capiton, EMC, Goldman Sachs, McKinsey, MIG, Roland Berger, Swift Capital and 3i. There is also an advisory board comprising well known industrial and private equity experts such as Heinrich von Pierer, Klaus Wucherer, Stefan Theis, Daniel Milleg and Florian Heinemann.

Hamburg – FCF Holding GmbH has secured funding for its plans for the national and international growth of its subsidiaries EatHappy and EatHappy ToGo (“EATHAPPY”). Hamburg-based family office Lennertz & Co. has been welcomed on board as a new major shareholder as part of a capital increase.

EATHAPPY, a company founded in 2013, is a leading provider of innovative bars specialising in sushi and Asian cuisine in supermarkets in Germany and Austria. At more than 120 sushi bars, freshly prepared premium sushi products are put in self-service chillers so that customers can see the full range and take their pick. EATHAPPY has seen incredible growth since it was launched thanks to close partnerships being forged with leading food retailers.

FCF Holding GmbH relied on advice from Network Corporate Finance, an independent, partner-run consultancy that specialises in guiding medium-sized companies through mergers and acquisitions as well as equity-based and external financing. With a 26-strong team at offices in Düsseldorf, Berlin and Frankfurt, Network Corporate Finance has gained extensive experience from working on more than 500 transactions globally.

Heinrich von Pierer – new start as a fund advisor. We didn’t hear a lot from Heinrich von Pierer for a while. After the major bribery scandal in Germany, the former “Mr Siemens” had to give up his role as chair of the supervisory board – even though there had been nothing to suggest that he had been personally involved in the sorry affair. Pierer stepped out of the limelight a little, advising start-ups and other companies and keeping in touch with his contacts from Erlangen, including those in China. But now the former Siemens boss has found a new job to keep him busy at the age of 76. Pierer has been welcomed onto the advisory board of the Lennertz & Co. Family Equity Fund. Together with former Siemens executive Klaus Wucherer, two entrepreneurs and a private equity specialist, his mission on the advisory board is to find suitable acquisition candidates.

Philipp Lennertz told the “Handelsblatt” that von Pierer and Wucherer (73) have a “fantastic network” that is already proving helpful, confirming a report published by “Manager Magazin”. The investment fund managed by Hamburg-based family office Lennertz & Co., serving affluent families and medium-sized companies, focuses on European companies that also have an online presence and are in need of capital to drive growth

Heinrich von Pierer – new start as a fund advisor. We didn’t hear a lot from Heinrich von Pierer for a while. After the major bribery scandal in Germany, the former “Mr Siemens” had to give up his role as chair of the supervisory board – even though there had been nothing to suggest that he had been personally involved in the sorry affair. Pierer stepped out of the limelight a little, advising start-ups and other companies and keeping in touch with his contacts from Erlangen, including those in China. But now the former Siemens boss has found a new job to keep him busy at the age of 76. Pierer has been welcomed onto the advisory board of the Lennertz & Co. Family Equity Fund. Together with former Siemens executive Klaus Wucherer, two entrepreneurs and a private equity specialist, his mission on the advisory board is to find suitable acquisition candidates.

Philipp Lennertz told the “Handelsblatt” that von Pierer and Wucherer (73) have a “fantastic network” that is already proving helpful, confirming a report published by “Manager Magazin”. The investment fund managed by Hamburg-based family office Lennertz & Co., serving affluent families and medium-sized companies, focuses on European companies that also have an online presence and are in need of capital to drive growth

Heinrich von Pierer – new start as a fund advisor. We didn’t hear a lot from Heinrich von Pierer for a while. After the major bribery scandal in Germany, the former “Mr Siemens” had to give up his role as chair of the supervisory board – even though there had been nothing to suggest that he had been personally involved in the sorry affair. Pierer stepped out of the limelight a little, advising start-ups and other companies and keeping in touch with his contacts from Erlangen, including those in China. But now the former Siemens boss has found a new job to keep him busy at the age of 76. Pierer has been welcomed onto the advisory board of the Lennertz & Co. Family Equity Fund. Together with former Siemens executive Klaus Wucherer, two entrepreneurs and a private equity specialist, his mission on the advisory board is to find suitable acquisition candidates.

Philipp Lennertz told the “Handelsblatt” that von Pierer and Wucherer (73) have a “fantastic network” that is already proving helpful, confirming a report published by “Manager Magazin”. The investment fund managed by Hamburg-based family office Lennertz & Co., serving affluent families and medium-sized companies, focuses on European companies that also have an online presence and are in need of capital to drive growth

Anyone on the hunt for companies in Germany is about to be given a run for their money by a superstar team featuring Heinrich von Pierer (76) and Klaus Wucherer (73). The ex-Siemens executives are on the lookout for acquisition candidates for the Lennertz & Co. Family Equity Fund managed by Philipp Lennertz (39). The former UBS banker looks after liquid assets amounting to more than EUR one billion through his family office based in Hamburg. His father Horst (74) was the CTO of E-Plus and von Pierer still remembers him fondly as one of Siemens’ loyal major customers.

The assets managed by Lennertz and the second managing partner, Oliver Piworus (44), include those belonging to the Mayer-Schierning and Abée families, both of which are heirs to a Hamburg property dynasty that, for example, owned the Bleichenhof Shopping Centre (in a prime city-centre location close to the Jungfernstieg boulevard), which has now been sold. They are now co-partners of Lennertz & Co.

Former Siemens CEO von Pierer joined the advisory board of the investment fund because he is “excited” by the way Lennertz and his people “invest in new business models”. He recommended his companion Wucherer as an expert in digitalisation and Industry 4.0: “There’s nobody better.”

And it looks like the pair are going to have plenty to keep them busy. The fund is believed to have invested directly in as many as ten companies by 2019, with the remaining money having been channelled into funds belonging to renowned investment companies.

After von Pierer left Siemens in 2007, he acquired a liking for the private equity business. For years, he has been advising the MIG Fund in Munich, which invests private investors’ money into new companies, and helping Munich-based industrial holding company Serafin, which primarily invests funds belonging to the Haindl entrepreneurial family, in a consultancy role.

So far, Lennertz & Co. has kept away from industry in its investments, with companies such as Brillen.de, sushi chain EatHappy and, most recently, sports goods retailer 21sportsgroup. Former CEO of ProSieben and Premiere Georg Kofler (60) is currently checking out this new investment too. The older generation certainly needs to be on hand to help the start-up avant-garde on its way.

Hamburg-based multifamily office Lennertz & Co. has welcomed two former Siemens executives to the advisory board of its investment fund. Heinrich von Pierer and Klaus Wucherer are all set to be on the lookout for acquisition candidates for the Lennertz & Co. Family Equity Fund.

According to “Manager Magazin”, Hamburg-based multifamily office Lennertz & Co. has welcomed Heinrich von Pierer and Klaus Wucherer to the advisory board of its investment fund. The report suggests that the two former Siemens executives are all set to be on the lookout for acquisition candidates for the Lennertz & Co. Family Equity Fund.

It also claims that Heinrich von Pierer and Horst Lennertz are already acquainted, with the latter having been the CTO of E-Plus, a major customer of Siemens for many years whilst von Pierer was in charge of the conglomerate. Horst Lennertz’s son just so happens to be Philipp Lennertz, founder and managing director of family office Lennertz & Co.

Together with the second managing partner, Oliver Piworus, Lennertz looks after liquid assets amounting to more than EUR one billion through his family office based in Hamburg. Both former employees of multifamily office Spudy & Co now manage assets for the Mayer-Schierning and Abée families amongst others.

The two clients are heirs to a Hamburg property dynasty that owned the Bleichenhof Shopping Centre in the city centre, which has now been sold. The report suggests that they are now co-partners of multifamily office Lennertz & Co.

Heinrich von Pierer is said to be a fan of the exciting approach taken by Lennertz & Co. when it comes to investing in new business models. After leaving Siemens in 2007, he gained no end of experience in private equity firms, with the support of Munich-based investment company Serafin owned by Philipp Haindl, one of the sons of the famous Bavarian entrepreneurial dynasty, amongst others. Von Pierer recommended Klaus Wucherer, his close companion over the years, to Lennertz & Co. as an expert in digitalisation and Industry 4.0.

The report goes on to state that the Lennertz & Co. Family Equity Fund had invested directly in as many as ten companies by 2019. The remaining capital is said to have been channelled into funds belonging to renowned investment companies. So we can assume that there’ll be plenty to keep von Pierer and Wucherer busy. So far, Lennertz & Co. has invested in start-up Brillen.de, sushi chain EatHappy and sports goods retailer 21sportsgroup.

With the pension struggle showing no sign of stopping, there is a growing focus on asset classes like private equity – especially as far as family office clients are concerned. But investments need to be well structured even when the investment horizon and risk understanding seem to be spot on.

For established entrepreneurs, private equity investments are the icing on the cake. The level of understanding for entrepreneurs with a business model promising success is high and the prospect of having a disproportionate interest in future revenue from a company that looks set to achieve big things is a tempting one. Nevertheless, it is down to a family office working with a client to offer sensible judgement to keep them down to earth. After all, the risk profile involved with private equity is always higher than many of the other most common investment classes.

It is best to have a clear concept in mind if a client’s high expectations are to be dealt with successfully here. As a general rule, a private equity engagement should also always correspond to the client’s personal preference. For example, recommendations for investments need to be based on the family, company and financial situation, whilst, of course, taking into account the legal and tax-related framework applicable to the client. If this has all been looked into in depth and a potential private equity investment appears as an option, it is worth setting out a mixture of direct and indirect investments and clearly presenting the investment limits (see table above). Furthermore, opportunities and risks on the part of the investor can be improved by selecting promising early-, mid- and late-stage investments through direct and indirect investments. Another risk buffer can be built in by investing the target private equity quota of the total assets proportionately every year over a period of ten years. This will ensure optimum distribution, usually across two economic cycles. A steady deal flow is essential here. And this requires a reliable network, relevant expertise and knowledge of no end of transactions if interesting investment opportunities are to be offered.

When it comes to direct investments, sectors tend to have a wide scope and companies tend to have a high level of innovation. Tech companies, B2B firms and retail concepts can be relied upon to comply nicely with the investment criteria. Appealing investments usually come in the form of companies that have customers requiring goods or services multiple times within a short period of time, allowing for the customer lifetime value to be maximised, rather than companies selling a one-off service or product.

Experience also shows that clients prefer to get involved in investments if the managing director of the family office has made the same investment. This clearly demonstrates that the business model, the company and the management team have been checked out at length and shared interests are at stake. Unfamiliar territory should be avoided at all costs in the case of indirect investments too. Black box investments of this kind can be avoided by a fund making initial investments in companies and then family office clients waiting until the second or final closing before investing.

And there are further valid reasons for family offices working on behalf of affluent clients to invest in private equity, such as their trust function. For one thing, this ensures a great deal of discretion. There is no disclosure of who has invested capital in the investment vehicle. This set-up also enables starting sums that can be in the mid-six-figure range. In other words, sums that allow for the distribution to be as wide as possible across the investment class known for being high in risk. Another advantage is that a family office can pool several clients to gain more power of representation in a company or fund, which allows them to defend investor interests.

And the final key argument is transparency of costs. With a clear concept, family offices are better placed to deliver greater returns from private equity investments in line with their clients’ wishes (see the various private equity structures in the diagram on the left). It is abundantly clear that there is only one fund manager between a family office and a company – even in the case of an indirect investment. Not to mention the low costs that are involved when a family office invests directly in a company.

Cologne – FCF Holding GmbH has secured funding for its plans for the national and international growth of its subsidiaries EatHappy and EatHappy ToGo (“EATHAPPY”). Hamburg-based family office Lennertz & Co. has been welcomed on board as a new major shareholder as part of a capital increase.

EATHAPPY, a company founded in 2013, is a leading provider of innovative bars specialising in sushi and Asian cuisine in supermarkets in Germany and Austria. At more than 120 sushi bars, freshly prepared premium sushi products are put in self-service chillers so that customers can see the full range and take their pick. EATHAPPY has seen incredible growth since it was launched thanks to close partnerships being forged with leading food retailers.

FCF Holding GmbH relied on advice from Network Corporate Finance, an independent, partner-run consultancy that specialises in guiding medium-sized companies through mergers and acquisitions as well as equity-based and external financing. With a 26-strong team at offices in Düsseldorf, Berlin and Frankfurt, Network Corporate Finance has gained extensive experience from working on more than 500 transactions globally.

Oliver Piworus is joining family office Lennertz & Co. as a second managing partner. The 42-year-old previously worked at Spudy & Co.

Oliver Piworus is joining recently established multifamily office Lennertz & Co. as a managing partner. Lennertz & Co. was just set up by Philipp Lennertz, a former Spudy & Co. manager, at the start of April.

Strictly speaking, what has happened is a change in company name. In order to start off with an asset management licence from the word go (Paragraph 32, German Banking Act), subsidiary Argentos Investment Management was acquired from financial services provider Argentos. According to company sources, Lennertz & Co. has already managed to build up a client base of families in double figures.

Piworus has followed founder Lennertz from multifamily office Spudy & Co., where he started working as an authorised representative on the client support team at the start of 2011. Before that, the 42-year-old was a director and authorised representative at banking company Vontobel for a good two years, during which time he was in charge of expanding family office services in Germany. His first experience of family office work was at UBS Germany, where he worked between 2002 and 2009, joining the Sauberborn team in 2006.

Following Jens Spudy’s decision last year to leave Spudy & Co., the multifamily office he founded, Philipp Lennertz has now left the company too. On 1 April, he officially opened the doors to family office Lennertz & Co.

Philipp Lennertz, a member of the management team at multifamily office Spudy & Co. for many years, has now set up his own family office called Lennertz & Co. At the same time, he acquired asset management subsidiary Argentos Investment Managers from financial services provider Argentos, meaning he is starting off with an asset management licence from the word go. It has been agreed that the purchase price will not be disclosed.

The business is relocating from Frankfurt to Hamburg and taking on the name Lennertz & Co. With a team of four employees by his side to begin with, 36-year-old Lennertz is all set to offer family office services going forward.

SELF-EMPLOYMENT: Philipp Lennertz, a member of the management team at multifamily office Spudy & Co. for many years, opened up family office Lennertz & Co. on 1 April. At the same time, he acquired asset management subsidiary Argentos Investment Managers from financial services provider Argentos, meaning he is starting off with an asset management licence from the word go. It has been agreed that the purchase price will not be disclosed. The business is relocating from Frankfurt to Hamburg and taking on the name Lennertz & Co. With a team of four employees by his side to begin with, 36-year-old Lennertz is all set to offer family office services.