Ronald Ayles joined Advent in 2005 and is a Managing Partner based in Frankfurt. He acts as an advisor in the German-speaking region and is responsible for Advent’s global chemicals and materials practice. Ronald originally joined Advent in London and moved to the Frankfurt office in 2007. He has advised on 17 investments during his career, 14 while at Advent.
Prior to joining Advent, Ronald worked for 3i in London and Frankfurt, where he established the firm’s chemicals and materials practice. Prior to joining 3i, he spent 10 years at Degussa AG (now EVONIK AG), the German specialty chemicals company.
Ronald holds an MBA from the JL Kellogg Graduate School of Management and the WHU Koblenz (Germany), as well as European undergraduate degrees from ESB Reutlingen and the universities of Granada and London. He also trained as an “Industriekaufmann.”
How do you identify interesting companies in your sector of focus?
What drives me is a desire to build better and stronger businesses. I started working in the chemicals industry at a young age and have focused on this industry ever since. It’s a hard industry to invest in as it is a very capital-intensive industry that tends to be cyclical and grows mostly in line with GDP. There are lots of reasons why not to invest. But if you’re an industry insider with deep knowledge of the sector, and you set out with the ambition of thinking creatively about how to build global leaders through market consolidation, there are interesting opportunities also in mature regions as we have proven many times. It doesn’t happen on its own – it’s complex, and you must have a clear vision and invest significant capital and resources as well as patience to make it happen. Most importantly, you need to understand the industry and surround yourself with excellent people and commit to building great businesses for the long-term.
What would you like external stakeholders to say about the experience of working with Advent?
For me, especially in Germany and Continental Europe, it’s all about trust. Germany is a stakeholder economy, so you need to convince not just shareholders but executives, employees, unions, customers, the works council, and the general public. Advent has built a reputation for being good owners of large, important businesses that we established over many years. In the decades I’ve spent working in this industry, I’ve built trusting relationships with many people from the chemical industry who understand and share these values.
What advice would you give to a new hire at Advent to set them up for long-term success?
I would recommend focusing on developing real, in-depth sector focus. There’s lots of capital and competition in our business and you have to be differentiated. You need to see what the bankers and consultants don’t see, and the only way to do that is by being an industry insider.
“I’m driven by creating world-leading businesses and I’m grateful to our investors and my partners for placing their trust in me and our chemical franchise. It’s a huge privilege but also a big responsibility.”
Ronald Ayles
Managing Partner, Advent International
What about your job inspires and drives you?
The power of private equity, when it’s harnessed properly, enables you to work on big industrial transformations that even public companies find hard to do. In my career in the chemical industry I have now worked in a large public company, in Private Equity and in the family business from the German “Mittelstand,” so I know what it means to be responsible for families and for jobs. In Private Equity I am trying to combine the best of these worlds. Personally I’m driven by creating world-leading businesses and I’m grateful to our investors and my partners for placing their trust in me and our chemical franchise. It’s a huge privilege but also a big responsibility.
Who has influenced you the most in your life and why?
There are a couple of people. In my corporate career the head of strategy and several other senior executives trained me over many years and allowed me to take on many very interesting business roles at a very young age. These years never really felt like work, because I was always doing something different and those that I worked with took a very long-term approach to my progression. I owe them a lot because they opened my eyes to how a company really works from the inside. Secondly, I would like to mention John Walker, our former Advent Co-Chair who also came from the chemical industry and worked very hard to hire me into Advent and was a fantastic supporter over many years.
- Ronald Ayles is also a deal team member on other transactions where the BOD resides with a Luxembourg entity that is advised by a group of deal professionals and members of management.
- BOD resides with a Luxembourg entity that is advised by a group of deal professionals. BOD indirectly nominates 3 out of 5 members of the Shareholders’ Committee of Envalior GmbH (joint venture with LANXESS AG), including Ronald Ayles.
- BOD resides with a Luxembourg entity that is advised by a group of deal professionals. BOD nominates 5 out of 7 members of the Supervisory Board of Caldic Holdings BV (joint venture with Wilbur-Ellis), including Ronald Ayles.
