How valuations are quoted locally
German businesses are usually priced on adjusted EBIT or EBITDA, and results are reported in euro (EUR).
- Capitalised earnings approaches remain widely used alongside market multiples.
- Mittelstand businesses with engineering depth and long customer relationships attract premium multiples.
- Pension obligations carried on the balance sheet reduce equity value and must be quantified.
Who buys businesses here
- Mittelstand strategic buyers
- European private equity and holding groups
- Succession buyers and MBO teams
What commonly reduces the price
- Direct pension commitments are a frequent and material equity value adjustment.
- Works council and employment protections affect post-acquisition restructuring assumptions.
Whichever market you are in, the underlying discipline is the same: normalise earnings, apply several methods, and weight them by how well each fits the business. See our twelve valuation methods for the full detail.