Jarmo Saaranen, Chairman & Partner, VNT

Jarmo Saaranen
Chairman of the Board,
Partner
VNT Management Oy
EnergySpin, EnergyWeek
19.3.15, Vaasa
From IPR to successful business,
investors view
VNT Management Oy ja Power Fund I & II & III
Mission:
To create a high return (IRR) by investing in and developing early stage and
growing phase companies in renewable energy and clean technology areas.
Power Funds are Focusing:
Companies in electrical systems business.
Power Fund I: 17 M€
Exit phase; two companies
Power Fund II: 63 M€
Company development phase; only follow-on investments and becoming
into exit phase
Power Fund III: 77 M€ ;
Company selection phase; Still 3…4 investments
We receive over 200 teasers or business plans every year.
New investments 1…3 in a year.
Focusing into
electrical systems
VNT investments are focused
into the whole energy system.
/Industry
Smart Grid
Energy Market
Sustainability
Company development
phases
Seed
Financing the early development of a new product or service,
market research, building a management team and developing
a business plan.
Start-up
Financing supports product development and initial marketing.
Later stage
venture
Growth
Capital provided after commercial manufacturing and sales but
before any initial public offering. The product or service is in
production and is commercially available. The company
demonstrates significant revenue growth, but may or may not
be showing a profit. It has usually been in business for more
than three years.
VNT
companies
Capital provided for major expansion such as physical plant
expansion, product improvement and marketing.
Rescue/
Turnaround
Replacement
capital
Source:
Buyouts
PEREP_Analytics, FVCA
VNT investment process
Industrial
Network & Spin-offs,
VNT Partners’ Network,
Academic World
VNT Partners’ experience
in technology,
markets, business models,
management competence etc.
Winning business models
and Network
in Supply Management
and Sales.
Partners Network
in Trade Sales.
Successful
positioning
Good Business Plan
and its’ implementation
Management practices
Risk and reward
1. Business idea :
VNT Partners with long experience and a proven track record in
energy technology business with hands-on development
of the target companies can deliver solid return.
2. Focus strategy
We invest into businesses where we have experience – innovative electrical systems
growth companies making R&D, international sales and assembly/test operations.
3. Leading principles
Several, see later.
Investment considerations –
leading principles
TEAM DYNAMICS TECHNOLOGICAL COMPETENCE HUMAN RISK Team recruitment VNT Partners
PASSION FOR SUCCESS Board of Directors
EXPERIENCE OF INTERNATIONAL BUSINESS EXPERIENCE OF PROCESS MANAGEMENT Compe>>ve situa>on MARKET POSITIONING NICHE AREA OEM / SystemB-­‐to-­‐B integratorS
Blue Ocean Strategy COMPELLING BUSINESS MODEL Market size MARKET RISK Customer contacts Sales channels When
does
the market
open
Final assembly
and testing
Series
Low tied
production
capital Focus in core competence
and networked operation model
Taguchi IPR and Freedom to Operate PROCESS MANAGEMENT Working prototype Scien>fic approach TECNOLOGY RISK Break through
TEKNOLOGICAL technology?
STRENGTH Concurrent Engneering FINANCIAL RISK CONTACT INFORMATION
•  Veijo Karppinen: +358-40-8371210, veijo.karppinen@vntm.com
•  Jarmo Saaranen: +358-40-8371559, jarmo.saaranen@vntm.com
•  Jussi Palmroth: +358-40-8371560, jussi.palmroth@vntm.com
•  Harri Ollila: +358-50-4102067, harri.ollila@vntm.com
•  Vesa Sadeharju: +358-40-5073370, vesa.sadeharju@vntm.com
•  Peter Auner: +49 89 51463696, peter.auner@vntm.com
VNT Management Ltd
Alatori 1B
65100 Vaasa
Finland
VNT Management Ltd
Äyritie 12 C
01510 Vantaa
Finland
VNT Management Ltd
Hämeenkatu 5 A
33100 Tampere
Finland
VNT Management Ltd
Arnulfstrasse 25
80335 Munich
Germany
VNT Management Ltd
Sepänkatu 20
90100 Oulu
Finland