Cervantes Capital

Cervantes Capital is a Swedish investment company based in Stockholm, focusing on long-term, active ownership of listed Nordic small and medium-sized companies. The firm employs a fundamental approach to investing, prioritizing value creation over short-term market fluctuations. They seek out quality businesses led by skilled management teams that demonstrate a high degree of alignment with shareholder interests. Cervantes Capital operates with an evergreen investment philosophy, providing enduring capital and liquidity to growing companies listed on Nordic stock exchanges. Their investment process is characterized by detailed research, aiming to identify fundamentally undervalued companies with clear potential for growth in earnings and cash flow, coupled with a strong return on invested capital.

The firm was founded in January 2021 in Stockholm, Sweden, by David Zaudy and Simon Cornell. They established Cervantes Capital to address a perceived need for long-term capital and in-depth fundamental equity research within the Nordic small and medium-sized enterprise (SME) market. A significant aspect of Cervantes Capital's structure is its majority shareholder, the Rosello Company, which is owned by Martin Lorentzon, the co-founder and a major shareholder of Spotify Technology S.A. This backing provides a strong foundation and strategic advantage for the firm's investment activities.

Cervantes Capital's portfolio includes investments in a diverse range of Nordic companies. Notable holdings have included Kjell Group, a retail and e-commerce entity; Sand Clinic, which operates in health services; C-RAD AB, a company specializing in medical devices for radiation therapy; Micro Systemation AB (MSAB), a leader in mobile forensics software; and Christian Berner Tech Trade AB, involved in industrial products and technology trade. The firm actively supports its portfolio companies, offering hands-on assistance when needed to unlock value and foster long-term growth.

The investment team at Cervantes Capital is led by managing partners David Zaudy and Simon Cornell, who bring extensive experience in financial research, portfolio management, and corporate finance. David Zaudy is a seasoned investor known for his value-oriented investment style, with previous roles at Pareto Securities and Veckans Affärer. Simon Cornell has a deep background in fundamental financial research, having served as head of equity and credit research at Pareto Securities and Carnegie. Felix Lindberg, another key team member, contributes his expertise as a private equity analyst from his time at IK Partners and The Riverside Company. The firm also benefits from an advisory board comprising experienced professionals such as Casten Almqvist, Helena Holmgren, and serial entrepreneur Jan Friedman, who has founded companies like Sportamore and Netonnet.