AEA Investors Success Stories and Notable Transactions

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AEA Investors has a long history of successful investments, with a portfolio that spans over 50 years. They've made their mark in the private equity industry with a unique approach that focuses on long-term value creation.

One notable transaction is the acquisition of the specialty chemicals company, PolyOne. AEA Investors partnered with PolyOne's management team to take the company private in 2013, and together they drove significant growth and improvement in the business.

Their commitment to partnering with management teams has led to impressive results, with many of their portfolio companies experiencing substantial growth under their guidance. This approach has been a key factor in AEA Investors' success, allowing them to build lasting relationships and drive value creation.

AEA Investors has also demonstrated its ability to navigate complex transactions, as seen in their acquisition of the consumer products company, Playtex.

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Investment History

AEA Investors has a rich history of investing in various sectors. The firm was founded in 1968 by George P. Humphreville, who served as its first managing partner.

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In its early years, AEA Investors focused primarily on the consumer and industrial sectors. It made its first investment in 1969.

AEA Investors has made over 1,000 investments since its inception. Its portfolio companies have generated significant returns, with some achieving returns of over 10 times their initial investment.

The firm's investment approach has been successful due in part to its focus on partnering with strong management teams.

Financials

AEA Investors has a strong financial foundation, with over $15 billion in assets under management as of 2022. This substantial amount of capital allows the firm to make significant investments in various sectors.

The firm's growth has been steady over the years, with a notable increase in assets under management from $10 billion in 2018 to $15 billion in 2022. This expansion demonstrates the firm's ability to attract and manage capital effectively.

AUM

As of September 2023, AEA Investors has $19 billion in assets under management.

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This significant amount of assets under management is a testament to the firm's success in the financial industry.

Having $19 billion in assets under management is a substantial milestone that requires a lot of expertise and resources to manage effectively.

AEA Investors has clearly demonstrated its ability to grow and manage its assets over time, which is a key factor in its success.

Financial backers

AEA Investors is a private equity firm that has been around since 1968. It's based in New York City and has a history of investing in businesses that operate in stable to growing industries.

The firm has a significant amount of assets under management, with a total of $19.0B USD in PE assets. This is a testament to its success in identifying and investing in profitable companies.

AEA Investors has a sector-agnostic approach, meaning it considers investments in a variety of industries, including value-added industrial products, specialty chemicals, consumer products, and services. This diversification strategy allows the firm to spread its risk and potentially increase its returns.

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The firm has a strong track record of making successful investments, with 27 out of 119 deals being successful overall. It also has a notable presence in the chemicals sector, with 4 out of 6 deals being successful.

Here is a breakdown of AEA Investors' deal statistics:

Case Studies

Case Studies are a key part of the interview process at AEA Investors.

Firms like AEA Investors value candidates with strong communication skills and technical knowledge, and case studies are one way to evaluate these traits.

In a case study, you'll often be asked to perform financial modeling and investment recommendations.

Battery Ventures Sell Process Sensing Technologies

Battery Ventures, a venture capital firm, completed the sale of Process Sensing Technologies, a company they had invested in. This sale marked the end of their involvement with the company.

AEA Investors, a private equity firm, was also involved in the sale, as they had partnered with Battery Ventures to sell the company. The partnership between the two firms was a key factor in the successful sale of Process Sensing Technologies.

The sale of Process Sensing Technologies was a significant transaction, marking the end of a successful investment for Battery Ventures.

Notable Transaction: Telephia

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Telephia, a company that provides consumer usage data to mobile data and telecom markets, secured a $40 million investment in its 3rd funding round in August 2000.

This investment brought Telephia's total equity capital to $54 million, a significant boost that helped them accelerate their growth.

AEA Investors led the funding round, joining existing investors such as Cedar Grove Investments, Prime New Ventures, The Megunticook Fund, and Oak Hill Venture Partners.

The original equity holders also reinvested, likely due to Telephia's impressive track record of providing network performance intel to wireless industry players.

This investment helped Telephia expand the market sectors they serve and build their proprietary system of database infrastructure.

Siemens Creates Evoqua Water Technologies

In 2013, AEA Investors LP acquired Siemens Water Technologies LLC for EUR 640 million, creating Evoqua Water Technologies LLC. The new company would continue to offer municipal and industrial water and wastewater treatment equipment and services.

The acquisition was a strategic move to grow the business and maximize its potential. AEA Investors has a proven track record of achieving superior returns as a leading private equity partner to middle market companies.

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Evoqua's management team, led by CEO Dr. Lukas Loeffler, would remain in place. The company would continue to operate with its 4,000 employees, who were committed to refocusing their culture on adding value for customers.

The company's name, Evoqua, was derived from the words "evoke" and "evolve", symbolizing its ongoing evolution in the water industry. The name was also a shortened version of "aqua", pronounced e (long ā€œeā€) vo (long ā€œoā€) qua.

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Frequently Asked Questions

How much does a VP at AEA Investors make?

A VP at AEA Investors earns an average base salary of $183K per year. Learn more about AEA Investors' compensation packages and career opportunities.

Is AEA a good private equity firm?

Established as one of the oldest and most respected middle market private equity firms in the US, AEA Investors has a strong reputation for excellence

What does the AEA stand for in AEA Investors?

The AEA in AEA Investors stands for American European Associates, which was the company's original name when it was founded in 1968.

Who is the CEO of AEA Investors?

Brian Hoesterey is the Chief Executive Officer of AEA Investors. He also serves as a Partner at AEA.

Wilbur Huels

Senior Writer

Here is a 100-word author bio for Wilbur Huels: Wilbur Huels is a seasoned writer with a keen interest in finance and investing. With a strong background in research and analysis, he brings a unique perspective to his writing, making complex topics accessible to a wide range of readers. His articles have been featured in various publications, covering topics such as investment funds and their role in shaping the global financial landscape.

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