LPs

Fresh Profile: Daniel Aegerter’s family office to boost growth, special situations investments

-
Daniel Aegerter, picture sourced from company website.

Armada Investment Group, Daniel Aegerter’s family office, is looking for growth and special situations investments to diversify its portfolio.

Aegerter established his family office in 2000 after the sale of his U.S.-based company TRADEX Technologies to Ariba (that was subsequently acquired by SAP Technologies).

Aegerter was only 31 years at the time and at $5.6 billion, TRADEX was then the largest software acquisition. But the dot-com bubble soon burst and Aegerter’s fortune dwindled to 500 million Swiss francs.

He launched Armada with $120 million. In its initial days, Armada invested in venture capital but no longer pursues that strategy unless backing its existing network of entrepreneurs.

Instead, Armada invests in alternatives like private equity, hedge funds, commodities and real estate. It does not invest in fund-of-funds or structured products. It also has its own internal hedge fund program. Armada invests in multiple funds of a single manager and usually sources its investment funds through proprietary research and network of relationships.

Armada wants to invest in growth companies and special situations with clear exit paths. Preferred industries for investments are technology, services, real estate or fund management companies. The family office, which invests globally, does not want its capital to be used to buy third parties or parts of the entrepreneur’s stake. It does not engage in debt or mezzanine finance.

Most of Armada’s investments have been in companies that disrupt legacy markets through a combination of technology, processes and strategy. It is unclear if Armada holds a controlling stake in any of the companies.

Armada has invested in Flytrex, GetHeal, Lakeward, N26, Nutmeg, Oklo, Vivino and xbAV.

 In addition, Armada sold euNetworks to StonePeak Partners, Bexio to Mobiliar Versicherung and Oanda to CVC Capital Partners in 2018.

 Action Item: Read more on Armada Investment here. https://bit.ly/2AdWdaj