For this issue of Manager of the Month we explore the emerging European middle market firm, Fremman Capital. Fremman Capital is also being actively discussed on the LP Gateway forums within its own page.
Fremman Capital (“Fremman”) is an emerging pan‑European middle‑market private equity firm, founded in 2020, by several ex. PAI employees, Ricardo de Serdio, Edwrd Chandler, Dr, Mirko Schӧnherr and Olivier de Vregille. Despite its young age, the firm has expanded rapidly and presently operates from offices in London, Madrid, Paris, Munich and Luxembourg, and claims over 100 years of combined investment experience among its eight investment, and three operational partners.
Fremman closed a sizable debut fund in 2021 and has deployed capital across its four favored sectors: healthcare, business and tech services, consumer goods and distribution and industrials. The name “Fremman” itself is derived from an old English verb meaning “to assist, to promote, to accomplish,” reflecting the firm’s stated ethos of working collaboratively at a personal level with management teams to build businesses with lasting impact.
Strategy
Fremman targets control or controlling minority investments in the Western European lower-mid-market segment, with a preference for businesses that serve essential sectors with structural tailwinds. It is a multi-sector investor, with core focus areas including business & tech services (such as data management and security as well as education), healthcare (such as medtech, distribution and diagnostics), consumer goods and distribution (such as supply chains and personal care) and industrials (including pollution reduction and industrial efficiency).
Fremman companies are usually family-owned, or carved out, local champions that are cash generative and in fragmented markets, where they hold the potential to become pan-European leaders.
Target firms will characteristically exhibit €100-400m in enterprise value with Fremman typically deploying checks of €30-60m per deal. That said, Fremman offers an extensive co-investment program, with a roughly 2x ratio for co-investment to date, which can help the firm ‘punch upwards’ when required, in terms of market cap.
To support deal sourcing, Fremman leverages its pan-European presence, local networks and offices and reputation as a partnership‑oriented investor. In transactions, the firm emphasizes alignment with management, often retaining significant minority or rollover stakes from founders and operating teams.
Fremman also integrates ESG and responsible investing at its core, with structured ESG governance aimed at embedding environmental, social, and governance considerations across its investment lifecycle. The firm’s debut fund, Fremman I, is designated as Article 8 under the EU Sustainable Finance Disclosure Regulation (“SFDR”).
Performance
Fremman remains young, though has seen good traction to date. Since closing its debut fund in 2021, Fremman has completed several platform investments:
- Palex Medical — One of Fremman’s earlier healthcare bets, Palex is a medtech distributor in Spain and Portugal. Fremman acquired a majority stake in 2021, retaining parts of the prior ownership. Over time, the firm has supported a series of acquisitions to build a pan-European MedTech distribution platform. In 2023, Fremman also partly exited Palex by bringing in Apax as a co-investor.
- VPS — A testing, inspection and certification provider focused on marine fuel, emissions, and related services. Fremman pursued a majority stake early on, betting on regulatory tightening and ESG demands across global shipping.
- HT Médica — In late 2023, Fremman acquired a majority stake in this Spanish radiology and diagnostic imaging provider (20 centers + 2 labs), a further push deeper by Fremman into healthcare services.
- Connexta —A German IT services / cloud / cybersecurity platform serving SMEs. In December 2023, Fremman made a majority investment, pursuing a buy-and-build strategy in a fragmented IT services market.
- Innovative Beauty Group — A turn‑key beauty & personal care development platform, spanning formulation, packaging and marketing.
Fundraising
The firm’s debut fund Fremman I closed with over €600 million in commitments in 2021 and its sizeable co‑investment program has raised an additional ~€400 million, pushing total AUM above €1 billion and making it one of the largest first-time pan‑European buyout funds raised post‑COVID.
Fremman is back in market today with Fund II, looking at a €750 million target, and having already closed on a sizeable amount, also beginning its investment period.
Fremman is represented by Jefferies.
Fremman Capital – To assist, to promote, to accomplish
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