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ELF Capital finances German hydraulic cylinder specialist Pacoma – and secures solid basis for future growth

With a flexible financing package of 20 million euros, ELF Capital is supporting the management buy-out of the minority shares in the Pacoma Group as well as its future growth.

The company from Eschwege is one of the world's leading suppliers of hydraulic cylinders with more than 50 years of experience and additional locations in the US and China. The financing structure is as long-term as it is flexible and ensures that the management once again has full control over the company. The team around Pacoma CEO Phil Liao will continue to expand the business on the solid basis now achieved and participate fully in the future growth. With this transaction, ELF Capital once again proves to be a long-term and reliable financing partner for owner-managed companies. In Germany alone, ELF Capital has already completed a total of four transactions in the past twelve months.

ELF founding partner Christian Fritsch said: "Together with the management, we have found a clever way to optimally align the shareholder interest and financing structure in a short period of time. Pacoma and its management also got the necessary flexibility and leeway to fully capture its future growth and value potential. This is a creative transaction for management. We look forward to the partnership journey with Pacoma."

Phil Liao, CEO of Pacoma Group, said: "We are very pleased with the flexible financing solution offered to us by the experienced ELF investment team. ELF's partnership approach, professionalism, speed and efficiency have impressed us greatly. ELF is the right choice - now we are back in full control of the business to successfully manage Pacoma's future growth."

About Pacoma Group
Pacoma is one of the world's leading suppliers of hydraulic cylinders. For more than 50 years, Pacoma has been developing a portfolio of high-quality hydraulic cylinders from German engineering that are used in construction machinery, in the automotive industry, in mechanical engineering as well as in logistics and material handling. Pacoma is headquartered in Eschwege, has world-class production facilities in Germany and China and employs 285 people.
Further information: www.pacoma.com

About ELF Capital Group
ELF Capital Group specializes in flexible financing solutions for medium-sized companies with a focus on Germany, Austria and Switzerland as well as Northwest Europe. The entire investment team has many years of experience in structuring tailor-made financing solutions for owner-managed medium-sized companies, management teams and private equity portfolio companies looking for an entrepreneurial, reliable and committed financing partner. ELF Capital offers individually designed financing solutions for established, fast-growing medium-sized companies as well as for companies in special situations. ELF’s focus is on capital solutions for companies with solid and profitable business models, leading market positions and good growth prospects.
Further information: www.elfcapital.de