Investor: “We just have to understand the business model”

Two years ago, the former investment banker founded Pure Investments with partners. “We are looking for insolvent production companies that have a sustainable core,” says Kallaus in an interview with KURIER. “We are not locusts,” he clarifies.

Companies often do not recognize the signs of the times with regard to their products and at some point produce them beyond the market. Further financing from the banks will no longer be possible at some point, says Kallaus, and venture capitalists are simply not interested in micro-enterprises with an annual turnover of only 20 to 30 million euros. Competitors, on the other hand, often lack the know-how or capital for a takeover. And larger companies, on the other hand, are too immobile.

Liquidator “master of events”

In these cases, Pure Investments comes into play. “We want to talk to a company at an early stage,” says Kallaus from the practice. “It’s not important what is produced, we just have to understand the business model.” He and his team have already looked at around 30 companies based on information from banks and lawyers or media reports; there is rarely a large group of interested parties. “We rejected a lot of things straight away, but we’ll take a longer look at others.” If interest continues, a lot depends on the liquidator. “He is the master of events.”

It is important that the old managing directors remain on board if they participate. “They know their stuff and cannot be replaced. We are not helicopter consultants,” says Kallaus. Participation requires full attention for around 18 months. “The turnaround and restructuring should be successful during this time,” says partner Stefan Pölzl, who only joined Pure Investments a few weeks ago. The son of the former post boss was previously responsible for the transformation process at Mayr-Melnhof, among others. “Transformation is necessary to restore competitiveness.”

According to Kallaus, the aim is to hold the shares for three years and then withdraw to a controlling majority. The group is not aiming for more than four investments at the same time. She has invested in these three companies:

Bohemian Forest fish: At the end of 2024, Austria’s only indoor aquaculture facility for breeding zander was acquired from bankruptcy proceedings in Ulrichsberg. The facility was modernized and a new corporate and sales concept was developed.

Wottle: Around a year ago, as part of a restructuring process, a majority stake was acquired in Wottle GmbH, a Poysdorf-based manufacturer of wine presses. “The company has benefited from its good reputation for a long time, but the owners increasingly no longer had the skills and financial resources to drive the company’s development forward,” says Kallaus. The high brand awareness and the extensive inventory of 4,000 machines sold (service business) were the main reasons for joining the family business, which was founded in 1923. Wottle is already profitable again, and Kallaus sees great opportunities in Eastern Europe, where wine is still a growing market. “We want to make Wottle a hidden champion again,” adds Pölzl.

Hofmann industrial furnace construction: The Upper Austrian company had to file for bankruptcy in late summer of the previous year. At the turn of the year, Pure Investments founded a rescue company that employs around 25 employees from the old team. “People in the Mühlviertel region don’t have a job,” says Kallaus. The ovens for aviation, armaments and the pharmaceutical industry are complex and require constant maintenance. “Hofmann is already profitable again and there is even consideration of taking over a small German manufacturer.”