Your M&A advisor in Germany
Acquiring a German Mittelstand company, selling a German subsidiary or finding an international buyer for your business: cross-border M&A from Cologne, with closings in North America, Europe and the Middle East. 56% of our mandates have an international dimension.
The German Mittelstand is where international buyers look
Owner-managed German companies with niche leadership, engineering depth and loyal customers are among the most sought-after targets in Europe. Most of them are not for sale, and their owners do not answer unsolicited approaches in English. Getting to the table requires someone who speaks their language, understands how they value their company and is trusted in the market.
We have sold German companies to buyers from Cincinnati, Abu Dhabi and Brussels, and we have run buy-side searches across the DACH region. Our database covers 3,500 financial investors and more than 800,000 companies. We run the process in English and German, coordinate legal and tax advisors in both countries and manage foreign investment screening and merger control as part of the timetable, up to closing.
Acquiring a company in Germany
For strategic buyers and investors from abroad we identify targets in Germany, Austria and Switzerland that match your search profile, including companies that are not for sale. We approach the owners in German, in confidence, and translate the Mittelstand way of thinking into terms you can act on: valuation, deal structure, what the owner needs to hear to say yes. Buy-side advisory →
Selling a German subsidiary
For international groups and investors divesting a German business we run a competitive process with German and international bidders, prepare the carve-out story and handle the specifics of a German share deal, from the works council to the notarisation. We know this situation from both sides: for a German group we sold its British subsidiary ELP to a London investor, up to closing in London. ELP → BayTree →
Selling to an international buyer
For German owners seeking a successor or strategic partner we bring buyers from the US, Europe and the Middle East into the process from day one. KÖNIG + CO. found its successor in Cincinnati, MBS Logistics in Abu Dhabi, the VISCO Group in Belgium. In each case German and international bidders competed in parallel. KÖNIG + CO. → HBH Holdings →
Buyer and target universe
Systematic identification of strategic buyers, financial investors or acquisition targets across Europe, North America, the Middle East and Asia, from our database, sector knowledge and comparable transactions. A long list, condensed with you into a short list.
Approach and documentation
Confidential approach to decision-makers in their language. Teaser, information memorandum and data room in English, German GAAP (HGB) financials bridged to the metrics international parties compare, staged information release under NDA.
Managing the process across borders
Time zones, legal systems and negotiation cultures: we keep the process competitive and mediate between the expectations of German owners and international counterparts, from the first management presentation to the last contract round.
Closing with local advisors
Coordination of legal and tax advisors on both sides, foreign investment screening and merger control managed as closing conditions, from due diligence through signing to completion.
KÖNIG + CO. → HBH Holdings, Inc. (Cincinnati)
Sale of a family-owned German manufacturer of vessel heads and pressed parts with almost 100 years of history to a US strategic buyer, securing the succession and keeping both German sites and the company name. A transatlantic process with cultural differences, time zones and two legal systems, led to closing in June 2025.
All international success stories →What HBH Holdings says about the process
The acquisition of KÖNIG + CO. in June 2025 was a strategically important step for us, and at the same time a demanding transatlantic transaction with all its typical challenges: cultural differences, time zones, legal frameworks. Z&C represented the seller throughout the process with impressive professionalism, speed and finesse. We were particularly impressed by their deep understanding of the dynamics of mid-sized industrial companies and their ability to remain solution-oriented even in critical phases of the negotiations.
Doing a deal in Germany
The structure of a process is the same everywhere: preparation, approach, offers, due diligence, negotiation, completion. Four things are specific to Germany.
Owner culture
Most Mittelstand companies are family-owned and have been for generations. Owners care about the site, the employees and the name as much as about price, and they decide on trust. A buyer who understands this, and says so credibly, wins against a higher bid more often than one would expect.
Financials and valuation
German companies report under HGB, not IFRS. Reserves, pension provisions and owner-related costs need to be normalised before EBITDA and net debt are comparable. We prepare that bridge, which is also the basis on which German Mittelstand companies are valued: multiples of normalised EBITDA, cross-checked against comparable transactions.
Foreign investment screening and merger control
Acquisitions by buyers from outside the EU may require notification to the Federal Ministry for Economic Affairs under the Foreign Trade and Payments Ordinance (AWV), for critical infrastructure and certain technologies even at small stakes. Merger control may apply in several jurisdictions. Both are planned with legal counsel early on as closing conditions.
Deal mechanics
Transfers of GmbH shares require notarisation in Germany. W&I insurance, escrow, earn-outs and locked-box mechanics are known but not standard in the Mittelstand. We explain to both sides what is customary and negotiate what matters: certainty of price and clear limits of liability.
Questions about M&A in Germany
Can a foreign company acquire a German Mittelstand company?
Yes. Buyers from the US, the Middle East and across Europe regularly acquire German owner-managed companies; we have advised on sales to Cincinnati, Abu Dhabi and Brussels. Outside the EU, foreign investment screening under the AWV may apply and is handled as a closing condition. The real challenge is not regulatory but getting the owner to the table, which is where a German advisor makes the difference.
How are German Mittelstand companies valued?
Typically on a multiple of normalised EBITDA, cross-checked against comparable transactions and, for larger companies, a discounted cash flow analysis. German companies report under HGB, so reserves, pension provisions and owner-related costs are normalised first. We prepare this bridge for sellers and, on the buy side, for your investment committee.
How do you find targets in Germany that are not for sale?
From a search profile that reflects your strategy, we screen our database of more than 800,000 companies, sector sources and our own market knowledge, and approach the owners directly and in confidence, in German. Most of the best targets have never considered a sale until someone credible asks.
Can you sell our German subsidiary?
Yes. We run a competitive process with German and international bidders, prepare the carve-out story and the stand-alone financials, and handle the German specifics of the deal, from employee representation to notarisation. The process is steered with your head office and executed in Germany.
Do German owners sell to foreign buyers?
Increasingly so, if the buyer offers a credible future for site, employees and name. 56% of our mandates had an international dimension. KÖNIG + CO., a family business with almost 100 years of history, chose a buyer from Cincinnati; MBS Logistics chose AD Ports Group from Abu Dhabi.
Is foreign investment approval required in Germany?
For buyers from outside the EU, acquisitions may require notification under the Foreign Trade and Payments Ordinance (AWV); for critical infrastructure and certain technologies this applies even at small stakes. Review by the Federal Ministry for Economic Affairs takes several weeks and is agreed as a closing condition. The legal assessment is made by specialised counsel; we build it into the timetable so it does not delay signing.
Does a share deal in Germany require a notary?
Yes, the transfer of shares in a GmbH, the most common legal form in the Mittelstand, must be notarised in Germany. The share purchase agreement is usually drafted in English under German law and read out by the notary at signing, which is one of the reasons the timetable looks different from a US or UK deal.
How long does a cross-border deal in Germany take?
Usually five to twelve months from start to signing, as for a domestic process; a few weeks should be added for bilingual documentation and coordination across time zones, and completion may move by several weeks for foreign investment screening and merger control.
Planning a transaction in Germany?
Let us talk about targets, buyers and how a process in Germany works. Confidential and without obligation, in English or German.