Attractive target companies are often highly specialized and deeply integrated into industry-specific supply chains – whether as an EMS partner for industrial electronics, a manufacturer of power supply modules, a developer of control boards or a provider of digitally networked sensor solutions.

High vertical integration, an ESD-compliant production environment, ISO/EN certifications (e.g. ISO 9001, ISO 13485, IPC-A-610) and documented series experience are just as typical as qualified specialists and a lean organization. Companies with a high level of in-house development, patented solutions or application know-how – for example in measurement, control and regulation technology – also attract particular attention. Providers with international delivery capability, variant expertise and engineering-related sales are also in demand.

In electrical engineering, company valuations are strongly influenced by the technology spectrum, customer mix and maturity of the organization. The crucial factor is whether the company produces on a job-order basis or has developed its own platforms, whether manufacturing and development are separate or integrated, and how reliable customer loyalty is – especially in regulated markets such as medical technology or railway technology.

Special value drivers are IP-related services, long-term project cycles with service potential, high requalification stability and process-reliable documentation. Companies that can offer engineering, prototyping, small series production and lifecycle support from a single source achieve above-average valuations. The degree of automation, software share and delivery capability in tight markets (e.g. semiconductors, passive components) also have a noticeable impact on the valuation.