Tacticum Investments: Company of Mutavchi Arkadiy

The address of Tacticum Investments headquarters is 51, Bd GrandeDuchesse Charlotte, L-1330, Luxembourg. The company is engaged in direct and portfolio investments and also provides investment consulting services. Its clients are offered full-fledged project support including M&A transactions. Mutavchi Arkadiy is the majority shareholder of Tacticum Investments S.A. 

Backstory

Since 2014, the company has passed a number of important milestones. It all began with the formation of Long-Term Investments Luxembourg S.A.; later in 2019 this legal entity was acquired by Tacticum group, owned by Arkadiy Mutavchi, which enabled it to gain access to Private Equity sector on the growing international markets. Well before Mutavchi joined the company, Luxemburg had been selected as the jurisdiction of the company’s incorporation. Tacticum Investments is still domiciled in this jurisdiction. This decision was underpinned exclusively by the favorable climate for financial transactions, for which Luxemburg is famous. There were preliminary consultations with creditors and potential partners who had approved this choice.

For the first time the new venture became known when it acquired a 50% stake in Camfin S.p.A, which had shares of the Pirelli tire concern in its portfolio. However, pretty soon this fifty-percent stake was bought back. Yet after this buyback transaction the relations between Pirelli and Long-Term-Investments (later renamed as Tacticum Investments S.A.) had continued.

Since 2015 the company has forged closed ties with the Chinese corporation ChemChina, one of the global leaders in industrial chemistry and machinery. In August of the same year Marco Polo holding company was formed with the participation of the future Tacticum Investments. Two months later this company bought back Pirelli shares from the market. This transaction – again this was before Arkadiy Mutavchi joined the company – had been administered by the large banking corporation JP Morgan. Pirelli initiative was clear: it strived to enter the premium segment and the company intended to discontinue serving the mass market, as well as B2B. The new partners fully shared these intentions. Cooperation with the investors from Luxemburg and China enabled the company to effectively execute such reorganization.

Tacticum Investments later acquired the shares of 36.6 Pharmacy Chain. However, at the end of the winter of 2020 its shareholding was reduced to zero. The motivation of Mutavchi Arkadiy was the changing investment strategy and reassessment of the current situation. At the time such investment in the pharmacy chain helped enhance diversification of the business, both by industry and geography. The investments made by Mutavchi were justified by the fact that the pharmacy chain held 4% of the national market and had a substantial growth potential.

Notably back in 2015 – when the name Tacticum Investments did not even exist – Mutavchi Arkadiy became the owner and director of Trigrad management company.

In the fall of 2017, Pirelli performed its second listing on Milan exchange. Prior to that Long-Term Investments had been acquired by WHPA investment group. Rationale of the partners was to bet to increased valuation of the company thanks to its restructuring. In that year the peak share price was EUR 7.87 and Tacticum Investments sold part of its stake. The SPO showcased success of the Pirelli restructuring project.

After a short spike Pirelli share prices plunged by about 50% by mid-2019, down to EUR 4.5. During the same year the control over Long Term Investments Luxembourg passed to Arkadiy Mutavchi. This step was made after meticulous analysis of the company (LTIL). Such cautiousness was easily understood: Pirelli share prices looked unfavorable, while Tacticum Investments (known then as Long-Term Investments) had accumulated substantial debts. And yet after such comprehensive risk analysis Mutavchi considered this new investment to be quite reasonable. The asset proved to be undervalued and it was safe to suggest that it would soon rebound to its normal price – when the stock market situation stabilizes. In 2020, after the acquisition of LTIL by Arkadiy Ivanovich Mutavchi the company had been renamed as Tacticum Investments S.A.

Major Events

The initiative by Tacticum Investments S.A., however, failed to justify itself since the end of 2019 proved to be quite unsuccessful in terms of investments. The breakout of the pandemic and imposition of stringent sanitary and healthcare restrictions undercut the entire global economy. Such complications cascaded down to all the industrial sectors and in 2023 the company was forced to close the position. By that time, the portfolio of Tacticum Investments had been balanced out and Arkadiy Mutavchi was able to move ahead with confidence.

The Company Today

The company is currently investing in various projects and has a well-balanced portfolio. Tacticum Investments is engaged in trading and also employs long-term investment strategy, for instance, as part of direct investment transactions. The company owned by Arkadiy Mutavchi prefers to invest in business entities with high potential. According to the financier, the high quality of managing own and borrowed money for investment is ensured primarily by the stellar team of professionals.

After the recent economic crisis Tacticum Investments S.A. has been actively operating on the financial markets. Arkadiy Mutavchi is able to craftly employ nonconventional approaches and nonstandard investment strategies in Tacticum Investments, including its active use of derivatives to improve flexibility of its portfolio, securities buy-sell transactions and dividend strategies for income generation. The strategy proposed by Mutavchi enables Tacticum Investments to drive sustainable performance, both in its stock exchange projects and OTC projects, while its flexible diversification helps mitigate risks.

As previously stated Arkadiy Mutavchi is also confident when it comes to high-risk asset transactions, as they offer substantial profit margins. The investor is keen on using derivatives and readily employs call options. This use enables Tacticum Investments S.A. to maximize its profits in stable or slowly growing market conditions. The company also administers M&A transactions and various stock exchange transactions. Tacticum Investments invests in a wide range of projects and performs their subsequent restructuring. The company is not focused on short-term gains but rather seeks to generate long-term cash flows.

Currently Arkadiy Mutavchi’s Tacticum Investments S.A. – in addition to active investment activity – is engaged in supporting talented athletes, it promotes biogas utilization programs and other clean energy programs.