About us

Growing small- and medium-sized enterprises is our speciality. This is evidenced by the rapid growth of our portfolio companies and successful exits.

Investment strategy

We are a reliable, partner and we are actively looking for companies that have the following:

  • Typically EUR 2 - 20M in revenues
  • A sound business strategy
  • A talented, experienced and committed management team
  • The potential to achieve a strong market position
  • Predictable and stable cash-flows
  • Significant prospects for growth

As an active investor, we support the company and the management on the shared growth track.

Our funds

Korona Invest is a management company with total capital commitments of EUR 155 million and three private equity funds. Terveysrahasto Oy was founded in 2006, Palvelurahasto I Ky in 2011, and Korona Fund III in 2016. Investors in Korona Invest’s funds include Sitra, a number of Finnish foundations, insurance companies and private investors.

1. Terveysrahasto Oy - Health services - Closed
2. Palvelurahasto I Ky - Services - Value creation phase
3. Korona Fund III Ky - No industry restrictions - Investment phase

Korona Fund III 62,5 M€

Pension institutions

24%

Institutions

21%

Corporate investors

13%

Family offices

13%

Insurance companies

10%

Public sector

8%

Pension companies

8%

Other

3%

Palvelurahasto I Ky 40 M€

Institutions

45%

Public sector

15%

Corporate investors

12%

Family offices

10%

Pension institutions

8%

Pension companies

5%

Insurance companies

4%

Other

1%

Terveysrahasto Oy

Public sector

38%

Institutions

37%

Pension companies

13%

Insurance companies

11%

Others

1%

History

Vesa Lehtomäki and Pasi Lehtinen founded the management company in 2006. The first fund eastablished was Terveysrahasto Oy. Today a total of EUR 155M € has been raised in three funds.

Responsible investing

Policy of responsible investing

 

Korona Invest is a private equity company. The best way of contributing to responsibility is through the development of portfolio companies in our funds. We have integrated responsibility as a part of our investment activity, and when making investment decisions, we take account of financial perspectives as well as matters related to the environment, society, and good governance. We believe that our portfolio companies which operate responsibly are more profitable investments for our funds and fund investors due to sustainable growth.

 

Commitment to responsible investment activity

 

The policy of responsible investing is binding on all employees of Korona Invest, and it guides our investment activity for taking account of ESG factors. Korona Invest is committed to the responsibility policy the company has specified and is aware of its social responsibility. Korona Invest is a member of the Finnish Venture Capital Association and complies with the Association’s guidelines on disclosure and transparency and Code of Conduct. The funds managed by Korona Invest observe the International Private Equity and Venture Capital Valuation Guidelines (IPEVG) in the valuation of portfolio companies, the international Invest Europe guidelines, and agreements signed with investors on investor reporting. We are a member of Suomen Yrittäjät and the networks of responsible corporate activity (FiBS and Finsif).

Korona Invest undertakes to include ESG factors as part of investment analysis and the decision-making process on investments, to serve as an active owner and to incorporate ESG factors in its owner practices. The company aims to advance appropriate responsibility reporting related to ESG factors of its investments, and reports on its activities and progress in the adoption of the principles of responsible investing.

 

Implementation of responsibility

 

We expect companies we invest in to act in a responsible manner. We analyse responsibility as part of the investing process, and we only make investments in companies that meet our investment criteria.

Taking account of ESG factors in the selection and monitoring of investments is part of the job description of every person making investment decisions and analysing investments. We have integrated ESG due diligence as part of due diligence investigations in the initial investment phase, which helps us determine any ESG risks. We believe this to be a positive value in the potential exit stage which will thus improve the value of the investment. Also, we may withdraw from investing in any company that ignores responsibility matters. Our goal is to develop the responsibility of our portfolio companies and ESG matters, so that no ESG risks preventing a sale of the portfolio company exist at the moment of the exit. We monitor the development of ESG matters in our portfolio companies with an annual survey.

When analysing risks of an investment, we observe matters related to the environment, social responsibility and governance as part of the whole. We develop tools of responsible investing and actively monitor the various practices.

As the basis for an investment’s responsibility analysis, we use information collected from public sources and Korona Invest’s own responsibility survey. Responsibility is analysed on both a quantitative and qualitative basis. In the analysis of investments and making of investment decisions, dialogue with company management is an essential part of the responsibility analysis of the investment. If necessary, we use external experts in the assessment of matters related to responsibility.

 

Monitoring of responsibility

 

Monitoring of portfolio companies from the responsibility perspective is an ongoing process. If we observe abuses or breaches of norms in a portfolio company, such as violations related to human rights, employment or the environment, we take action on a case-specific basis, depending on the severity, nature and scope of the violation.

Korona Invest reports on its corporate responsibility more extensively in Korona Invest’s annual responsibility report. We use the annual ESG survey on portfolio companies as support material for our reporting. Responsibility matters of our portfolio companies are also reported as part of our financial reporting. We meet with our stakeholders on a regular basis, and often such meetings involve review of matters concerning responsibility. We also want to help advance the themes of responsible investing and sustainable value creation and growth in our industry.