Entrea Capital advised LB Bulgaricum on global strategy and developing an effective licensing fee structure

Entrea Capital advised LB Bulgaricum on global strategy and developing an effective licensing fee structure

Entrea Capital advised LB Bulgaricum on global strategy and developing an effective licensing fee structure

Client: LB Bulgaricum
Status: Private
Sector: Food and Beverage
Revenue: € 6 mln
Web: www.lbbulgaricum.bg
Seller:
Status:
Sector:
Revenue:
Web:

Client: LB Bulgaricum

  • LB Bulgaricum Plc. is a leading Bulgarian dairy company and is the exclusive owner and exporter of the original patented technology for the production of starter cultures for Bulgarian yoghurt and dairy products used by leading food producers across the world
  • The Company has production facilities in Sofia and Vidin, as well as a modern R&D facility focused on developing a new generation of starter cultures and formulas
  • The Company has strong positions in the export of white and yellow cheese
  • The Company supplies specific bacterial cultures for the production of yoghurt to global corporations such as Japanese Meiji, etc.

 

Situation Overview & Solution

  • LB Bulgaricum hadn’t changed its licensing and royalties model for many years and required a new approach in order to maximize the revenues, resulting from its unique value proposition
  • The Company also needed guidance related to its overall strategic direction and new market development 

 

Entrea Capital’s Role and Value Added

  • Entrea Capital provided LB Bulgaricum with a tailored solution based on the Company’s unique strengths:
  • A revised royalties and licensing fee structure to enable the Company to charge for various aspects of its products and service offerings, thus maximizing the potential revenues from prospective clients
  • A detailed analysis of entry opportunities into high-priority markets and specific recommendations on the best possible approaches to pursue those. Entrea Capital identified specific partners for LB Bulgaricum with which the Company could start immediate negotiations for market development
  • Entrea Capital provided a detailed toolkit for leading effective negotiations with prospective partners