AEA

Middle Market
Private Equity


AEA’s Middle Market Private Equity team (AEA MMPE) currently manages over $7.0 billion of invested and committed capital. The Middle Market team makes controlling investments in businesses headquartered in North America and Europe with enterprise values generally between $300 million and $2.5 billion.

We seek superior returns by applying its network, operating experience and strategic expertise to invest successfully and consistently across many economic cycles. We generally look for businesses that have significant opportunities for growth, operating improvements, geographic expansion and other value creation options. Aided by our extensive global network of Participants, who serve as board members, we partner with management teams of well-positioned portfolio companies to strategically targeted global expansion, increase market share and broaden product lines.

We employ a specialist approach with dedicated, experienced teams focused on four sectors: Value-Added Industrial Products, Specialty Chemicals, Consumer / Retail and Services. Within each sector, the team’s specialist approach includes a deep network of experts and managers, long-term views on industry trends, detailed research conducted on growing subsectors and strong relationships with potential strategic partners and buyers of its portfolio companies. We believe that our culture, deep industry knowledge and relationships – as well as relevant Participant involvement and AEA’s reputation and track record for success – position us to be the preferred buyer of management and family-led companies. Further, our ability to act locally on three continents is unique in the middle market and provides significant advantages throughout the investment process. All offices in their respective regions are tasked to help achieve operating improvements, supply chain/procurement, global expansion and acquisitions, regardless where the company is headquartered.

We focus on opportunities that the investment team believes can benefit most from AEA’s strategy and resources, including orphan divisions of large corporations and family- or entrepreneur-owned businesses. We have a long history of successfully investing in divisions of corporate parents and believe that this experience brings a strong understanding of the risks and complexities associated with corporate carve-outs and the skills to unlock upside potential. In addition, based on our value-added approach and proven ability of working in concert with families and founders, we are well positioned to invest with families and founders who have built a business and are seeking partial liquidity or a transition to new ownership and management to allow for accelerated growth.

Our Operating Partners and Executives bring significant knowledge and expertise to the full cycle of AEA’s investment process. The Operating Partners have decades of experience in leadership roles at multi-national companies and their roles and responsibilities include working as part of the investment team, developing and underwriting the operating plan of the business, serving on portfolio company boards of directors, mentoring and supporting management teams and helping to recruit executives to supplement current management where appropriate.

Our rigorous, institutionalized investment process promotes adherence to these principles and the sharing of institutional knowledge globally. The result has been a dedication to achieving strong results and to actively mitigating downside risk.

MMPE
at a Glance

Investment
Criteria

  • Equity Investment Size:
    $100 mm – $300 mm
  • Enterprise Value:
    $300 mm – $2.5 bn
  • EBITDA:
    $30 mm – $250 mm

History