About private equity

How private equity invests in privately-owned businesses, supports jobs and creates prosperity.

Members

Login to access your exclusive member-only content and account information.

Login

Not a member? Join us

  • Operate to the highest level of professional standards
  • Access authoritative industry research and data
  • Navigate the complex EU regulatory environment
  • Network and engage with industry leaders
Private equity in action - Case Study

MK Chimney

Back to results
Country Poland
Region Lubuskie
Investor The Riverside Company
Share

When Riverside invested in MK, a Polish manufacturer and distributor of high-quality flue gas extraction systems, in 2006, the company concentrated on supplying its domestic market and other Eastern European countries. Riverside refocused the business on the higher value German and Scandinavian markets and provided substantial financial support to help the firm weather both the global financial crisis and an increase in its raw material costs.

The company now sells across Europe and has more than doubled its employee numbers since 2006. With Europe-wide coverage firmly established, MK was sold in 2012 to another specialist in the field, French group Isotip-Joncoux.

Piotr Siudak

CEO

MK Chimney

Riverside was a great partner in our growth. Within a short period of time, we implemented a new market strategy, completely modified production processes and changed the IT system completed an acquisition in Germany and improved the product portfolio. The company is now not only very profitable but also diversified in terms of customers, products and suppliers. Quotation Marks Graphic
>2x

increase in employee number to 168

200%

increase in production

What did the business need?

  • Professionalisation of a family business set-up
  • Expansion into more lucrative Western European markets
  • Capital for growth and restructuring

How did private equity backing create lasting value?

  • Developed new products that were more efficient and not subject to price volatility
  • Bought German distributor in 2010, bringing the company into Western Europe
  • Lowered the scrap ratio during production from 21% to 11%
  • Improved production efficiency by 150% from 2006 to 2012
  • Overhauled production process and installed new IT production management systems
  • Installed new professional management team
  • Provided additional funding to help the business through the financial crisis

What outcomes did private equity investment achieve?

  • Increased employees from 74 to 168
  • Won new strategic accounts in Germany and Poland
  • Expanded across Europe into Germany and Scandinavia
  • Diversified customer base, with share of revenue from 5 biggest customers reduced from 50% to 15%
  • Increased unit production by 200% between 2006 - 2012

More information

MK Chimney

Riverside

Share

What can I do to manage cookies stored on my computer or phone?

You can accept or refuse cookies. Accepting cookies is usually the best way to make sure you get the best from a website.

Most PCs automatically accept them but you can change your browser settings to restrict, block or delete cookies if you want. Each browser is different, so check the 'Help' menu of your particular browser (or your mobile phone's handset manual) to learn how to change your cookie preferences. Many browsers have universal privacy settings for you to choose from.

Help on how to set and customise your cookie settings for your browser

How to manage cookies in Internet Explorer

Cookie settings in most versions of Internet Explorer can be found by clicking the tools option and then the privacy tab.

How to manage cookies in Firefox

Cookie settings in Firefox are managed in the Options window's Privacy panel. See Options window - Privacy Panel for information on these settings.

How to manage cookies in Chrome

Click on the spanner icon on the toolbar, select settings, click the under the bonnet tab, click on content settings in the privacy section.

How to manage cookies in Opera 

You can manage cookies in Opera if you Click on settings, then Preferences, then Advanced and finally Cookies

How to manage cookies in Safari

Choose Safari, then preferences and then click security. You should then be able to specify if and when Safari should accept cookies.

To manage cookies on your mobile phone please consult your manual or handbook.

Get more help about how cookies work with specific browsers.

What happens if I don't accept cookies?

If you decline cookies, some aspects of Invest Europe site may not work on your computer or mobile phone and you may not be able to access areas you want on the website. For this reason we recommend that you accept cookies.

What happens if I delete my cookies?

If you delete all your cookies you will have to update your preferences with us again and some aspects of our site may not work.

What happens if I change computers or mobile?

If you use a different device, computer profile or browser you will have to tell us your preferences again.

If you'd like to learn more about cookies in general and how to manage them, visit aboutcookies.org.

We can't be responsible for the content of external websites.

Opt-out of cookies

Login

Join today

This is for members only. To view in full login or join Invest Europe today.