| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | n/a | n/a |
| Intrinsic value (DCF) | n/a | |
| Graham-Dodd Method | 344.63 | 228 |
| Graham Formula | n/a |
NextStage SCA is a France-based private equity firm specializing in long-term investments in medium-sized, mid-cap, mature, and growth capital companies across Europe. Operating as a subsidiary of NextStage AM, the firm targets a diversified portfolio, with 75% allocated to unlisted mid-cap companies and the remainder to listed mid-cap firms on Euronext or Alternext. NextStage invests between €8 million and €40 million in companies with revenues ranging from €10 million to €500 million and enterprise values between €25 million and €200 million. The firm avoids biotech but otherwise invests across all sectors, focusing on value creation through strategic capital deployment. With a strong presence in the European private equity landscape, NextStage leverages its expertise in mid-market investments to drive growth and operational improvements in its portfolio companies. Its disciplined investment approach and sector-agnostic strategy position it as a key player in the European financial services and asset management industry.
NextStage SCA presents a niche investment opportunity in the European mid-market private equity space, characterized by its disciplined capital allocation and focus on unlisted and listed mid-cap companies. The firm's FY 2021 financials show a net income of €25.4 million, with diluted EPS of €0.24, though operating cash flow was negative at €-2.6 million. With a low beta of 0.21, NextStage may appeal to investors seeking lower volatility exposure to private equity. However, the absence of dividends and negative operating cash flow could deter income-focused investors. The firm's €39.98 million cash position provides liquidity, but its €17.1 million debt load warrants monitoring. Given its specialized focus, NextStage is best suited for investors bullish on European mid-market growth and comfortable with illiquidity risks inherent in private equity.
NextStage SCA competes in the crowded European mid-market private equity sector, differentiating itself through a sector-agnostic approach (excluding biotech) and a balanced mix of listed and unlisted investments. Its competitive advantage lies in its deep regional expertise and ability to identify undervalued mid-cap companies with growth potential. The firm's investment range (€8-40 million) positions it between smaller venture capital players and larger buyout funds, allowing it to capitalize on a market segment often overlooked by mega-funds. However, its lack of sector specialization may limit value-add capabilities compared to industry-focused peers. NextStage's subsidiary relationship with NextStage AM provides operational synergies but may also create conflicts of interest. The firm's French base gives it local market advantages in Francophone Europe but may limit penetration in Northern or Eastern European markets where local players dominate. Its negative operating cash flow in 2021 suggests portfolio companies may require further capital injections, potentially straining resources.