Deutsche Beteiligungs AG (DBAG) reported strong transaction activity in the first half of 2026, with seven transactions completed: three new investments and four disposals. The company allocated 90.5 million euros to new investments, including acquisitions in the healthcare, cybersecurity, and energy transition sectors. However, despite robust operational performance from portfolio companies, DBAG's net asset value (NAV) per share declined to 33.65 euros as of June 30, 2026, from 36.37 euros at the end of 2025, due to lower valuation multiples for peer group companies. This prompted the company to adjust its forecast for the full year 2026 on July 16, 2026.
The first half of 2026 presented a mixed picture for DBAG. The portfolio companies demonstrated resilience against macroeconomic headwinds, contributing positively to gross gains and losses on measurement and disposal. However, the decline in valuation multiples more than offset these operational gains, leading to a net loss of 34 million euros in the period, compared to a net income of 8.2 million euros in the first half of 2025. EBITA from Fund Investment Services remained stable at 6.8 million euros, slightly down from 7.1 million euros in the prior-year period.
DBAG's transaction activity included three acquisitions: DBAG Fund VIII acquired a majority stake in Hipp Technology Group, a healthcare company; DBAG acquired a minority stake in Bug Bounty Switzerland, a cybersecurity firm specializing in AI-driven testing, as a Long-Term Investment; and DBAG ECF IV agreed to acquire a majority stake in TNL Group, a service provider supporting the energy transition with environmental permits and construction services. The TNL Group transaction is expected to close in the third quarter of 2026. On the disposal side, notable exits included duagon and Kraft & Bauer from DBAG Fund VII, generating liquidity for future investments.
The company's available liquidity stood at 96.7 million euros as of June 30, 2026, down from 103.1 million euros at the end of 2025. DBAG returned 26.1 million euros to shareholders through dividends and share buybacks during the period, continuing its policy of a minimum annual cash dividend of 1.00 euro per share and regular evaluation of buyback programs.
The adjustment in forecast reflects the impact of fundamental geopolitical changes, including the armed conflict in the Middle East, disruption of key sea routes, and ongoing tariff announcements, which are straining global trade and dampening growth in Europe. These factors have pressured Germany's export-driven economy and led to declining valuation multiples for peer group companies in certain sectors. Tom Alzin, Spokesman of the Board of Management, noted, "From an operational perspective, our portfolio companies generated positive earnings contributions, but this was more than offset by lower valuation multiples. That is why we revised our forecast for 2026 on 16 July." Despite the challenges, Alzin emphasized that DBAG remains committed to investing in structural growth and selling when conditions are right, seeing attractive opportunities for sustainable value growth during such periods.
