01

About us

Based on more than a century of industrial entrepreneurship and success with building companies, Bagger-Sørensen Equity A/S is focused on investing in small and medium sized companies with a growth potential.

We invest in companies where our active ownership and capital will enable the individual companies to pursue ambitious agendas realizing their full potential.

We develop companies in a responsible manner balancing the interests of society, customers, employees, partners and shareholders.

We are always open to dialogue around investment opportunities. Whether the decision to sell or onboard an investor has already been made or it is an early consideration, we invite you to make contact!

02

Our history

Our industrial history

1915

1915

Vejle Caramel og Tablet fabrik (Vejle caramel and tablet factory) was established

Chewing gum production in Strandgade

1927

1939

The DANDY name was launched

1946

Exports started up

1946

1952

1952

New factory at Enghavevej

The first functionel gum (Stimorol) was launched

1956

1972

1972

New factory at Dandyvej

1975

Holger Bagger-Sørensen was appointed CEO

1975

1978

Acquisition of Fertin AB, Sweden

1982

A factory was established in Zimbabwe

1982

1984

DANDY Fonden (Foundation) was established

Production of private brand to Kraft Foods France (e.g. Hollywood)

1987

1991

1991

Holger Bagger-Sørensen retired as CEO and became Chairman of the Board in DANDY A/S

Inauguration of the Dirol factory in Russia

1999

2002

Cadbury bought the DANDY brands, the international sales organization and the factory in Russia.

The company name was changed to Gumlink A/S.

Inauguration of Fertin P2 (FDA approved plant)

2004

2009

Joint venture with Yildiz Holding, Turkey

Steen and Claus Bagger-Sørensen became Chairmen of the Boards in Fertin Pharma, Gumlink, Vecata and BS

2013

2015

The first 100 years were celebrated in Vejle with 1200 guests
Inauguration of the Fertin plant in Goa, India

Steen and Claus Bagger-Sørensen succeeded Holger Bagger-Sørensen on all board positions

2016

2017

Fertin Pharma A/S was sold to EQT (BS&Co. kept 30% of the shares)

The Bagger-Sørensen group moved to the BS HQ at Tabletvej in Vejle

2020

2021

EQT and the Bagger-Sørensen Family sold Fertin Pharma to Philip Morris

03

Cases

DANDY A/S

Industry: Confectionery
Ownership period: 1915-2002
Shareholding: 100%

Facts

Turnover:2.5 Bio. DKK
2.500 Employees
Creation of iconic Chewing Gum brands like Stimorol®, Dirol® and V6®

 

Strategic development

Brands, factory in Russia and all sales subsidiaries divested to Cadbury Schweppes in 2002 in order for the branded business to take part in a global consolidation within chewing gum and confectionery. Bagger-Sørensen family retained ownership of all B2B related activities continuing in Gumlink A/S.

Fertin Pharma A/S

Industry: Pharmaceuticals
Ownership period: 1978->2021
Shareholding: 70% of shareholding divested to EQT in 2017

Facts

Turnover: 1.0 bn. DKK
800 Employees
Industry leading quality standards and global foot print
Strong innovation capabilities and Intellectual Property portfolio

 

Strategic development

Initially, established Fertin Pharma A/S as the largest CDMO within pharmaceutical chewing gum and smoking cessation gum. Further, developed the company into a world leading CDMO within convenient and pleasurable oral and intra-oral delivery systems across Pharma and Nutraceuticals working with multiple top tier global Pharma and Consumer Health companies.

Continental Confectionery Company Gida San

Industry: Confectionery
Ownership period: 2010 ->
Shareholding: 50%

Facts

Turnover: ~500 mio DKK
900 Employees
Double digit growth year on year
Global B2B sales and own Brands in Turkey/Middle East

 

Strategic development

Strong combination of own brands in Middle East/Turkey and B2B business model in rest of the world fueled by large scale modern manufacturing in a cost competitive environment coupled with strong innovation and R&D capabilities.

TabLabs Inc.

Industry: Nutraceuticals and Food
Ownership period: 2011-2018
Shareholding: 50%

Facts

Turnover increased from 2.5 Mio. CAN to 15 Mio. CAN
Significant increase in EBITDA
Facility in Langley, Vancouver, Canada upgraded, expanded and BRC (A) and Canada Health certified

 

Strategic development

Business was diversified into Nutraceuticals. Improved Product Development, Sales and Operations enabling attraction of large MLM customers in US, Canada and China.

Others

  • Okono A/S (100% ownership – however the Nordik brand was divested in 2018)
  • Medcan Pharma A/S (100% ownership – divested in 2019)
  • Richmark GmbH (50/50 JV – exited in 2015)
  • DANDY Zimbabwe, Ltd. (49% ownership – exited in 2015)
  • Beechies, Ltd., South Africa (49% ownership – exited in 2015)
  • Lohnpack GmbH (100% ownership – divested in 2010)
  • Gumpole, Ltd., India (50/50 JV – exited in 2010)
  • Stargum, Mexico (50/50 JV – exited in 2013)
  • Arcedi Biotech ApS (90%)
  • BS Renewable Energy Projects (Scotland) (100%)

04

Investment focus

We are particularly interested in investing in companies with certain criteria:

  • Companies with growth potential
  • Mature companies with a proven track record and an operational model that generates a positive cash flow
  • Companies with a turnover between 50-500 mill. DKK
  • A potential fit with our investment themes has priority over specific industries, so we are not restricted to certain industries
  • Companies headquartered in Northern Europe
  • We are not limited to specific industries, but invest based on selected themes
Companies not in scope

We have a limited number of industries which fall outside our direct investment focus:

  • Heavy industry
  • Basic infrastructure
  • Arms industry
  • Tobacco

05

Investment themes

There can be many motives for wanting to sell a company or on-board a new investor as a shareholder.

Regardless of the motives, i.e. generational handover (could be a multi phased process), the need for capital and risk sharing in pursuit of new growth avenues, resources to execute on an international expansion, capital to support an acquisition strategy or any other motive, Bagger-Sørensen Equity are interested in dialogue.

We are particularly interested in companies with products or services supporting UN’s Sustainability Goals and that have a logical fit with secular growth trends within Healthcare, Food & Ingredients, Technology and Sustainability.

06

Investment policy

Investment policy

Investment Policy

Background and Purpose

Bagger-Sørensen & Co A/S is a private holding company responsible for managing the assets and wealth of the Bagger-Sørensen family. This responsible investment policy covers the group’s direct investments in unlisted equities primarily conducted through Bagger-Sørensen Equity A/S, the group’s real estate investments, and investments in securities made by Bagger-Sørensen & Co A/S. We aim to be a responsible investor recognized for delivering strong financial returns and positive societal impact.

We believe that by consciously integrating societal impact and Environmental, Social, and Governance (ESG) aspects into our investment strategy, investment processes, and engaged ownership activities, we can make better investment decisions and achieve better returns. This policy describes Bagger-Sørensen’s commitment and approach to creating societal impact and integrating ESG aspects into our investment processes and activities.

1. Scope

The policy applies to direct investments in unlisted equities, real estate investments made by the Bagger-Sørensen group, and investments in securities, whether conducted directly or through external asset managers or funds.

The purpose of the policy is to cover the entire investment lifecycle from due diligence and agreement to the ownership period. The processes for responsible investments are designed to highlight ESG aspects that are significant for the specific type of investment. Significant ESG aspects are defined as factors reasonably considered important to reflect the company’s or asset’s economic, environmental, and social impacts in both the short and long term.

2. Roles and Responsibilities

The policy is approved by Bagger-Sørensen’s board of directors and is reviewed annually along with other group policies. The executive management owns the policy and oversees its implementation and education across the organization. The executive management is also responsible for reporting to the board on Bagger-Sørensen’s compliance with the policy on an annual basis. Bagger-Sørensen’s group management is responsible for implementing the policy in daily business activities and ensuring that the policy and its related processes are appropriately applied in their respective teams.

3. Our Approach to Investments

At Bagger-Sørensen, we focus on investing in companies striving to continuously improve their financial performance and ESG achievements in order to contribute to positive societal development. We consistently work on the basis of the most significant ESG focus areas on our investments and use the following approach as a guideline for due diligence, decision-making, and engaged ownership activities. We recognize that this area is rapidly evolving and continuously seek to improve this perspective through the annual review of the policy.

Environmental

  • Reduce climate impact and apply appropriate structures to identify and prevent climate change-related risks to achieve the targets of the Paris Agreement
  • Reduce the environmental footprint, i.e., limit the emission of harmful substances and waste
  • Limit the use of environmentally scarce and non-renewable resources and minimize negative impacts on biodiversity

Social

  • Promote diversity, inclusive workplaces, and enforce zero tolerance towards any form of discrimination or harassment
  • Respect employees’ rights to decent working conditions, such as minimum wage, working hours, health, and safety
  • Adhere to international human rights principles, including zero tolerance for child and forced labor

Governance

  • Maintain a board with a sufficient mix of members with the competencies and independence to ensure the company’s long-term goals for owners and stakeholders
  • Define and document an ESG-Governance structure with clear responsibilities and procedures
  • Integrate significant sustainability aspects into the company’s strategy and operations, set standards for sustainability through relevant sustainability-related policies, and conduct strategic board discussions on sustainability at least once a year
  • Maintain a high level of business ethics in all types of transactions and interactions to prevent fraud, bribery, and corruption and ensure responsible marketing practices

Exclusion

We exclude assets and companies that directly and significantly harm the environment or conflict with the Bagger-Sørensen group’s ethics and values. Based on this, we exclude investments in companies within the following categories:

  • Environmentally harmful activities: Investments in companies involved in severe environmentally harmful activities or violations of environmental standards
  • Unethical business conduct: Investments in companies involved in corruption, bribery, or other forms of unethical business conduct
  • Human rights violations: Investments in companies known for serious human rights violations
  • Discrimination: Investments in companies actively engaging in discrimination based on race, gender, religion, or sexual orientation

Additionally, we exclude companies with more than 5% revenue exposure from the production of non-medical cannabis, adult entertainment, palm oil, tar sands, thermal coal, and tobacco. We allow investments in companies producing fossil fuels if they intend to transition their business to a low-emission model per the Paris Agreement.

The exclusion criteria apply to investments in securities, direct investments in unlisted equities, and real estate investments.

Integration of ESG in Investment Decisions

During the due diligence of a potential investment, we assess significant ESG risks and opportunities. The assessment is tailored to the specific type of investment, industry, and maturity of the company or asset.

The assessment is based on qualitative and quantitative data from public company information, external ESG data, analyses from external providers, or direct interaction with the company or external manager, depending on the investment. The result of the ESG assessment of an investment is included and presented in the investment recommendation. Any ESG-related actions identified during due diligence will be addressed and continuously monitored.

Engaged Ownership

As engaged owners, we aim to directly influence our direct investments in unlisted companies through our board positions, management dialogue, and voting. We leverage our extensive expertise in industry and investment. We support, develop, and promote the integration of ESG in business practices in portfolio companies. We include ESG aspects in the ongoing monitoring of investments and their development.

Reporting and Transparency

We aim to provide transparent reporting and communication on responsible investments. This includes a report on our implementation, progress, and results in the annual report and ESG report.

07

Why choose us

Our history is industrially rooted and we have been involved in all parts of the value chain. We feel comfortable working in both B2B or B2C environments.

Our experience across several industries with full value chain coverage has generated a generic understanding of how to develop companies. Therefore, we do not limit our investment focus to certain industries as our approach is thematic.

Over time we have built experience within growth, innovation and operations in a global context. We know how important it is for the long term and sustainable development of companies to create value for customers and fulfillment for consumers – every day.

This takes a structured approach to continuous improvement of operations, disciplined identification of customers value creation and consumer needs fulfillment supported by efficient innovation processes.

Growth

  • Define ambition and growth vectors
  • Internationalization
  • Mature & Emerging markets
  • Long term Blue Chip Customer Partnerships
  • Joint Ventures
  • B2B and Brands

Innovation

  • Clear link between Strategy, Growth Plans and Innovation
  • R&D processes in regulated and non-regulated environments
  • Identification of Know How and Proprietary Technology platforms
  • Intellectual Property strategies

Operations

  • Customer Service Focus
  • Regulated and un-regulated industries
  • Complex manufacturing & Supply Chains
  • Global Supply Chain set-ups
  • Continuous Improvement Programs

In essence, we are industrial minded and when we get involved in a company, we do it with a genuine interest in building better companies – long term with respect for the history and culture in the companies. We believe a focus on building better companies goes well hand in hand with creating satisfactory return on invested capital.