Investment Approach - CHI Partners

CHI Partner’s main focus is investment alongside large global strategic

or financial investors.

Alone or together with other financial investors, we invest in controlling or significant minority stakes in companies and real estate projects in CEE.

The target companies or projects typically have enterprise value between €10 and 100 million.

In respect of assets other than real estate, we focus primarily on businesses in the following key sectors:

Food &

Agriculture

Healthcare

Financial

services

Growing world population leads to imbalances between supply and demand for agricultural products. Combination of rising incomes and population increases demand at a significant rate. Expanding supply at the same rate is difficult because the amount of available land under cultivation is growing by only a fraction of a percent each year. We see opportunities for food & agriculture opportunities across the region, due to agricultural traditions, cheap labor, and favorable climate.

Rising incomes and living conditions, combined with population aging, increase demand for healthcare services. This is especially true for the immature markets of Central and Eastern Europe. At the same time, the sector is less sensitive to the economic cycle and therefore presents an attractive as well as non-cyclical investment prospect.

Financial services firms in Central and Eastern Europe, especially banks and insurance companies, have been actively raising capital to take over competitors in the currently active M&A market, or to meet higher regulatory capital requirements. The value of selected banks and insurance companies’ stocks is still relatively low due to relatively small size and low liquidity. This creates opportunities for investors to purchase significant equity stakes at relatively low prices and consolidate a sector.

We also make investments in other sectors if we find exceptional

opportunities there or a match with our existing investments.