2018 ANNUAL REVIEW Investing in and building robust businesses across Western Europe - Equistone Partners Europe
←
→
Page content transcription
If your browser does not render page correctly, please read the page content below
2018 ANNUAL REVIEW Investing in and building robust businesses across Western Europe.
2 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS
CONTENTS
2 FOREWORD
4 LOOKING BACK ON 2018
12 ACTIVE PORTFOLIO MANAGEMENT
16 ESG
18 2018 NEW INVESTMENTS
20 WHP Telecoms
22 BOAL Group
24 Karavel-Promovacances and FRAM
26 Nylacast
28 Wallenborn
30 Small World
32 Courir
34 2018 EXITS
36 Concept Life Sciences
38 E. Winkemann
40 UK Power Reserve
42 Travel Counsellors
44 Karl Eugen Fischer
46 Mademoiselle Desserts
48 Caseking
50 Averys
52 Apogee
54 Appart’City
56 OTTO
58 ABOUT EQUISTONE
60 THE TEAM
PORTFOLIO INVESTMENTS
2 EQUISTONE 2018 ANNUAL REVIEW // FOREWORD EQUISTONE 2018 ANNUAL REVIEW // FOREWORD 3
Guillaume Jacqueau
Managing Partner
FOREWORD
Having closed our sixth fund Our local investment teams, especially both UK exits that achieved returns over Review. In January 2019, we became
in Germany, were also busy with add-on 2x in a relatively short time frame. Given signatories to the United Nations
at €2.8bn in March 2018,
acquisitions for our existing portfolio our belief in the growth potential of the Principles of Responsible Investment
we went on to announce six companies. These add-ons, 19 in remaining companies in the fund, we are (UNPRI) after a number of years refining
new buyouts for that vehicle, total, plus buyouts, totalled €531m of positive about the future performance our approach and practice to ESG and
investment by year-end. This figure falls of Fund V. responsible investment. We also signed
taking us to 15% committed
within our anticipated run rate of between Our approach moving forward remains the iC20 Climate Initiative, created by
by the end of the year. €500m-€700m of investment per annum. conservative and considered. Economic France Invest, which is the first initiative
It also underpins our decision to set our forecasts throughout Europe, and beyond, in the private equity industry to support
fund size at €2.8bn in the face of much promise challenges. Consequently, we the reduction and management of
higher demand. will stay conservative on leverage, while greenhouse gas emissions by portfolio
A total of 11 successful exits produced continually assessing the impact of various companies. We will continue to factor
returns to our LPs of €1.4bn in 2018. Nine economic scenarios on our portfolio. We climate change factors into our
of these exits came from our fourth fund. will also continue to invest in our team, investment assessments.
These exits lock in the fund returns for which has added six new faces since the Recognising the importance of
Fund IV and place it comfortably in the start of 2018 and we look forward to improved gender balance across the
top quartile for its 2011 vintage. welcoming several more in 2019. private equity industry as a whole, we
The remaining two exits came out of We continue to believe strongly in have become a corporate supporter of
Fund V, which closed at €2bn in 2015. citizenship and have taken some key Level 20, which seeks to improve gender
Apogee and UK Power Reserve were steps since we published our last Annual diversity in our industry.
4 EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 5
€531m*
INVESTED IN NEW INVESTMENTS AND ADD-ON ACQUISITIONS
€1.4bn
LOOKING BACK GENERATED PROCEEDS FROM THE SALE OF INVESTMENTS
ON 2018 * Figure relates to announced transactions to be consistent with prior year publication. Bien-Zenker & Hanse Haus signed in
December 2017 and completed in January 2018 is therefore excluded from this figure.
In 2018, the European buyout market had its most active year this was in the Netherlands. The German Despite facing a more competitive
market has been seeing an influx of new market, the German team completed
in over a decade. There were 760 new buyouts worth €109.3bn.
players, which has increased competition the primary buyout of BOAL Group,
The UK and France dominated, but were pushed into second significantly. The team was, however, a Dutch manufacturer of high-tech
and third place respectively by the Netherlands (on €23.6bn). able to source smaller attractively greenhouse roofing solutions. On joining
priced add-on acquisitions for existing our portfolio, BOAL Group had annual
Dutch buyout values were boosted, thanks to it being home to
portfolio companies. (See Add-on Activity revenues of €156m.
one of Europe’s biggest ever buyouts. Germany was the fifth on page 8.) The Paris office oversaw the buyouts
most active market behind Italy. As for sectors, European of Karavel-Promovacances and FRAM
manufacturing buyouts remained in April, Wallenborn in August and
strong, although down on 2017 which announced the carve-out of Courir in
In terms of new buyout investment, had a strong 2018. saw the highest value in a decade. Exits October. Equistone’s convention is to
France and UK total values were largely As a European fund, Equistone can from European manufacturing buyouts include all transactions in this report in
similar. The UK recorded 201 buyouts shift its emphasis across Europe, always were worth €19.3bn in 2018, compared the year in which they are announced,
worth €22.7bn compared with 121 preserving its bottom-up approach to to €25.1bn in 2017. Buyout investment although this sometimes varies between
buyouts worth €20.0bn in France. investment selection. The UK continued in the European manufacturing sector exchange and completion. Courir closed
Although the number of French buyouts to yield good opportunities and realistic in 2018 stood at €23bn, compared to in February 2019, but the reporting
was lower, their overall value was buoyed pricing, albeit in a competitive market. €29bn in 2017. Manufacturing is still requirements of Groupe Go Sport, its
by nine mega buyouts. (Defined as deals Consequently, the UK matched the French the most active sector for European majority shareholder, necessitated an
worth €1bn+.) Those nine mega buyouts team with three buyouts apiece. France buyouts. This reflects Equistone’s early announcement in October 2018.
had a combined value of €11.4bn, remains an attractive market. Despite experience; four of its 11 exits were Group Go Sport has five segments
whereas the UK market had only five labour unrest, business confidence in manufacturing and two of the and Courir is its sneaker retailing
mega buyouts worth €7.5bn. engendered by President Macron’s seven new investments in 2018 were brand with over 200 stores, the
In previous years the UK has been reforms seems strong. also in the manufacturing sector. majority of which are based in France.
the biggest national buyout market in In Germany, the team reviewed a Karavel-Promovacances and FRAM are
Europe. But it seems that investors at the number of interesting proposals but often INVESTMENT ACTIVITY leading tour operators with revenues of
very largest end of the buyout market could not get comfortable on pricing. €507m. Equistone knows this business
were wary. Significantly, the core lower Consequently the German team made No one sector dominated the companies well having first invested when it span out
mid-market that Equistone targets only one new investment during 2018 and joining our portfolio during 2018. of Opodo in 2007. Equistone went on to
6 EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 7
2018 PE-BACKED BUYOUT INVESTMENTS 2018 PE-BACKED EXITS
VALUE VALUE
NO. €M NO. €M
France 121 21,044 France 66 18,272
Germany 128 7,214 Germany 49 14,341
UK 201 22,677 UK 167 24,909
European Total 760 109,336 European Total 443 96,983
Source: CMBOR / Equistone Partners Europe / Investec. Source: CMBOR / Equistone Partners Europe / Investec.
sell Karavel-Promovacances to LBO France Although this bucked the wider European to North American asset manager and tech products, was sold in a tertiary
in 2011. FRAM was added to the business buyout market trend, which saw exit Brookfield. Appart’City concentrates buyout to Gilde. Equistone had bought
in 2015. Wallenborn is headquartered values fall below new investment values on the urban French residency market Caseking in a secondary buyout from
in Luxembourg and operates its for the first time. and first joined the Equistone portfolio Afinum in 2014.
premium road and transportation The split of exits from our portfolio was in 2014. The UK team oversaw three trade
services across 11 countries. evenly spread with the UK and German Of the German team’s four exits, sales; Concept Life Sciences, UK Power
Wallenborn has revenues of €136m. teams overseeing four exits and the three were secondary buyouts and Reserve and Apogee. Concept Life
The three buyouts undertaken by the French team three. In terms of sectors, one a trade sale. The trade sale was Sciences provides integrated drug
UK team were all secondary buyouts. In there was a range but manufacturing, of heating, ventilation and aircon discovery, development, analytical
March, telecoms provider WHP Telecom with four exits, dominated. systems provider OTTO. The company testing and environmental consulting
was bought from Palatine Private Equity. Exits from the French team was bought by ENGIE Group, a services. It was sold to London Stock
This was followed by Nylacast in July. all fell into the second half of the technical building services and facilities Exchange listed Spectris for £163m in
Nylacast designs and manufactures year. Mademoiselles Desserts, the management company. OTTO was January and was a primary buyout for
precision-engineered polymer solutions manufacturer of frozen industrial a primary buyout in 2014. The three Equistone in 2014.
and has revenues of £53m. Equistone finished and semi-finished pastry, was secondary buyouts were Winkemann, In May, UK Power Reserve, the flexible
bought Nylacast from Caird Capital sold to IK Investment Partners in July. Karl Eugen Fischer and Caseking. power generation provider, was sold to
Partners. In November, Small World, the Equistone had bought Mademoiselles Winkemann manufactures precision- Singaporean energy group Sembcorp.
international money transfer company Desserts by way of a secondary buyout stamped metal parts. Equistone UK Power Reserve had been part of
with revenues of £110m, was acquired from CEREA Partenaire & Azulis Capital concluded the primary buyout of Equistone’s portfolio since 2015. Apogee,
from investors including FPE Capital and in 2013. Averys, a manufacturer of Winkemann in 2012 and sold it to the print managed services business,
MMC Ventures, having been signed and industrial storage solutions, racking and Cathay Capital Private Equity in April was sold in November to New York
announced earlier in the year. metal furniture, was sold to Blackstone 2018. In June, the team sold Karl Eugen Stock Exchange-listed HP Inc for £380m.
in September. Equistone had originally Fischer, manufacturer of custom-made Equistone had invested in Apogee less
REALISATION ACTIVITY invested in this business in 2015 by way cutting machines for the tyre industry, to than two years previously in a primary
of a secondary buyout from LBO France. Deutsche Beteiligungs by way of a tertiary buyout that valued Apogee at £185m.
During 2018 our portfolio yielded 11 (Prior to the sale of Averys, the team also buyout. Karl Eugen Fischer originally The sale to HP Inc was realised after the
successful exits, which returned €1.4bn supported its acquisition of Storax in joined the portfolio following a secondary integration of six acquisitions during
to our investors. Equistone was pleased 2018, see Add-on Activity in this section.) buyout from EQUITA in 2013. In August, Equistone’s short but highly successful
2018 proved a strong year for exit activity. In December the team sold Appart’City Caseking, a supplier of PC gaming, eSports partnership.
8 EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 9
Travel Counsellors, the global leisure and Ramesh Flowers, located in India. storage, racking and metal furniture, Philipp Gauß joined the Munich
and corporate travel company, was Germany’s United Initiators, a global acquired Portuguese company Storax. team as an associate in January
sold to Vitruvian Partners in May. Four manufacturer of peroxides, persulfates In the UK, marketing technology 2019. Philipp previously worked
years earlier, Equistone had bought the and other speciality initiators also headed services provider ITG stayed close to as a Project Manager for the
business in a primary buyout. to India, with the acquisition of VR home with its acquisitions of UK-based strategy consultancy Stern Stewart
Persulfates. Connect and Intrepia. in Munich. Philipp advised clients
ADD-ON ACTIVITY The remaining three of the German from the industrial goods, energy
team’s add-on acquisitions, were cross- NEW FACES and media sectors on transactions
The pace of the German team’s add- border deals within Europe. They were: and restructurings. He is a graduate
on investment activities was dynamic, PC products firm Caseking, which Equistone has welcomed six new of the European Business School
resulting in 14 acquisitions by eight bought Jimm’s PC-Store in Finland; POLO members to the team since the start of in Oestrich-Winkel.
existing portfolio companies during 2018. Motorrad und Sportwear, the motorcycle 2018. Jérémy Mathis and Caroline Pinton The London office has made two
Streetwear and hip-hop clothing clothing, accessories and equipment have joined the Paris team, both as new hires; Isabella Boman-Flavell as
retailer DefShop bought two German retailer, which acquired Mcom Moto investment managers. an investment manager and Andreas
companies; Inflammable and Sport in France; and furniture manufacturer Jérémy previously spent five years Hadjiyannis as a financial accountant.
Bayerworld. Internet services provider Vivonio, which bought Danish KA Interiør. in the investment banking divisions of Isabella previously spent over five years
Performance Interactive Alliance (PIA) In total Equistone supported 19 add- Goldman Sachs and Rothschild. There at RBS, most recently as associate
bought a German business called Appico on investments for its portfolio companies he was involved in M&A and financing director in its structured finance division.
as well as TAB, which operates from two during 2018. Although the lion’s share transactions in the industrial, energy, There she specialised in mid-market
centres in Berlin and San Francisco. fell to the German team, the French team retail and healthcare sectors. Jérémy is a leveraged finance transactions. She is a
Artisanal meat supplier Group of were kept busy with three add-ons and graduate of Emlyon Business School. graduate of the University of York.
Butchers acquired three businesses the UK team supported two. Caroline joins from Paris-based M&A Andreas was previously with EY in
since the start of 2018. Two of these The three French add-ons were: the boutique Messier Maris & Associes. South Africa for three years. His time
are located in Germany; Hartmann and purchase of Les Rhums de Ced by French There she spent over four years working at EY included a secondment in New
Gmyrek. The other, Koetsier Vleeswaren, wholesaler and distributor of premium on a large number of corporate and York while he qualified as a Chartered
is a Dutch company. spirits, Dugas. Outside France, office investment acquisitions. Prior to this Accountant. Andreas graduated from
German candle maker Gala bought supplies and equipment retailer Bruneau she worked in the corporate finance the University of Cape Town in South
three businesses: JuwelKerze, a German acquired Luxembourg’s Muller & Wegener department at BNP Paribas. Caroline is Africa with a degree in Finance and
candle maker; Poland’s Korona Candles; and Averys, a manufacturer of industrial a graduate of Emlyon Business School. Accountancy.
10 EQUISTONE 2018 ANNUAL REVIEW EQUISTONE 2018 ANNUAL REVIEW // LOOKING BACK ON 2018 11
» We are proud of our support for the
teams at Mademoiselle Desserts… both to
develop original business lines and to
pursue its international external growth
«
strategy, particularly in the UK.
Arnaud Thomas,
Partner, Equistone
12 EQUISTONE 2018 ANNUAL REVIEW // ACTIVE PORTFOLIO MANAGEMENT EQUISTONE 2018 ANNUAL REVIEW // ACTIVE PORTFOLIO MANAGEMENT 13
ACTIVE PORTFOLIO
MANAGEMENT
added value through the introduction of product offering is raising the expenditure joined Equistone’s portfolio, in January
Bruneau’s expertise in digital marketing, per customer. In this context, Bruneau 2017, it was operational in Netherlands
the strengthening of its product range, has recently developed an innovative and Belgium.
particularly in furniture, and improved solution to offer its customers a Bruneau- This geographic footprint was enlarged
COUNTRY / INVESTMENT DATE economies of scale through increased branded telecoms service. The business in October 2018 when Equistone
France / Oct 2017 purchasing power. also continues to develop its marketplace supported the purchase of Hartmann.
Muller & Wegener employs around in order to provide additional products Hartmann is a German-based specialist
Bruneau is a French online retailer of 100 people, increasing the group’s and services and to leverage its clients’ supplier of meatballs and mince-based
office supplies, furniture and equipment. total workforce to over 800 people. The portfolio, web traffic and brand image. products. The following month, Equistone
Following a management buyout, Bruneau majority of existing employees support Acting as a marketplace allows third parties supported the acquisition of a second
joined Equistone’s portfolio in October Bruneau’s supply chain and work at its to sell through Bruneau’s ecommerce German company called Gmyrek. Gmyrek
2017. The group was founded in 1955 and two logistics warehouses in France and platform. This expands Bruneau’s product supplies meatballs and smoked sausages.
has successfully transitioned to become an Spain and its seven regional distribution range to include additional high value These acquisitions have transformed
efficient online selling platform. centres located in France and Belgium. and specialist items without the company the sales and marketing opportunities
With Equistone’s support, Bruneau This logistics framework allows Bruneau having to hold such inventory on its books. open to Group of Butchers. In the
plans to consolidate its existing positions to offer 24-hour delivery and same-day This is also an effective way to test its Netherlands and Belgium, Group of
further in France, Spain and Belgium and delivery in the Paris area. customers’ appetite for new products. Butchers’ products had been sold
to enter new segments and geographies, Bruneau and Equistone will continue to predominantly through leading food retail
both through organic growth and explore acquisitive growth opportunities chains, such as Albert Heijn, Jumbo and
build-ups. in its core markets which reinforce its Carrefour.
The group completed its first build-up presence and benefit from economies of The additions of Hartmann and
in June 2018 with the acquisition of Muller scale, as well as expanding its geographic Gmyrek have opened a channel into the
& Wegener, a leading retailer of office footprint, broadening its product range German market and in doing so have
supplies in Luxembourg with a strong and maximising potential for commercial COUNTRY / INVESTMENT DATE diversified Group of Butchers’ customer
reputation and solid relationships with synergies and cross-selling opportunities. Netherlands / Jan 2017 base. They have also opened a rich seam
its client base. Given the strength of its In parallel, organic development of cross-selling opportunities between the
brand, Bruneau will retain the Muller & remains a priority. Strong web and Group of Butchers is an artisanal butcher different outlets in these countries.
Wegener name in Luxembourg. Equistone marketing capabilities are resulting in producing organic, fresh and delicatessen Acquisitive growth remains attractive
and Bruneau’s management anticipate customer growth and expanding the meat products. When Group of Butchers and the Equistone team moves into
14 EQUISTONE 2018 ANNUAL REVIEW // ACTIVE PORTFOLIO MANAGEMENT EQUISTONE 2018 ANNUAL REVIEW // ACTIVE PORTFOLIO MANAGEMENT 15
content creation and digital strategy, consider an acquisition programme that
while expanding ITG’s technology across has included 49 potential acquisitions
all aspects of the “Marketing Cycle”. ITG’s being sourced during the first year of
customers includes giants such as Puma, Equistone ownership. This also included
Heineken and Marks and Spencer, and an early fact-finding mission to the US,
these acquisitions will strengthen such where Equistone used its network to
relationships as well as driving new ones. facilitate introductions to specialist M&A
Connect is based in Wolverhampton, firms to put ITG on their radar.
while Intrepia is located in London. These ITG has continued to post double digit
two acquisitions are symptomatic of the organic growth since joining Equistone’s
fast-moving Martech space in which ITG portfolio. This has been achieved by
operates. It is an industry in flux with constantly evolving its technology and
evolving technology and potential for services to stay relevant to the marketing
2019 with an interesting M&A pipeline. exciting consolidation opportunities. challenges of its customers, whilst retaining
Group of Butchers’ management team While ready to support management a passion for customer service. ITG is, at the
has amply demonstrated its ability to in opportunistic acquisitions, Equistone time of going to press, in the latter stages of
integrate new businesses. It bought has also worked with ITG proactively to completing its first non-UK acquisition.
five companies in the five years prior to
joining the Equistone portfolio. Before
being acquired by Equistone, Group of ADD-ON ACQUISITION ACTIVITY IN 2018
Butchers was owned by Nordian Capital COUNTRY / INVESTMENT DATE
Partners between 2012 and 2017. UK / Oct 2017 ACQUISITION PORTFOLIO ADD-ON ADD-ON
MONTH COMPANY LOCATION COMPANY LOCATION
The company has a very good
January United Initiators Germany VR Persulfates India
reputation with its customers arising Inspired Thinking Group (ITG) provides
March Gala Germany Ramesh Flowers India
from initiatives ranging from integrating technology-led outsourced multichannel
March Caseking Germany Jimm's PC-Store Oy Finland
category champions to organising marketing services for global brands and
March Averys France Storax France
counters and shelves within its customers’ retailers. Its services are delivered through
April PIA Germany Appico Germany
retail stores. The company’s reputation ITG’s proprietary suite of marketing
April POLO Germany Mcom-moto France
has been formally recognised; it has won a technology (Martech). ITG joined
April Gala Germany JuwelKerze Germany
number of retail prizes over the past year. Equistone’s portfolio in October 2017.
April Gala Germany Korona Candles Poland
Equistone is also working with ITG and Equistone both see the
May ITG UK Intrepia UK
Group of Butchers on organic growth potential to accelerate growth through
June Vivonio Germany KA Interiør Denmark
opportunities. These include expanding widening the product offering and
July DefShop Germany Inflammable Germany
its existing ‘Out of Home’ business, which developing an international footprint.
July DefShop Germany Sport Bayerwald Germany
includes chiller cabinet items and ready ITG currently has five UK sites, as well as
July Bruneau France Muller & Wegener Luxembourg
meals; and developing an own brand for customer facing presences in New York,
August ITG UK Connect UK
Group of Butchers. Group of Butchers Chicago, Amsterdam, Frankfurt and Paris.
August Group of Butchers Netherlands Koetsier Vleeswaren Netherlands
already has a thriving white label business In Equistone’s first year of ownership
August PIA Germany TAB Germany & US
for other retailers. ITG completed two complementary
November Group of Butchers Netherlands Hartmann Germany
acquisitions – Intrepia and Connect. Both
December Group of Butchers Netherlands Gmyrek Germany
are UK-based businesses that deepen
December Dugas France Les Rhums de Ced France
ITG’s expertise in key areas such as
16 EQUISTONE 2018 ANNUAL REVIEW // ESG EQUISTONE 2018 ANNUAL REVIEW // ESG 17
ESG
Environmental, Social and Our original investment supported the larger quantities of furniture. So, there are These specialists cover a variety of topics
expansion of MAJA’s Wittichenau/Saxony fewer (but full) trucks on the road, creating such as nutrition, ergonomics to avoid
Governance (ESG) monitoring
production facilities for lightweight lower carbon emissions. injuries and other problems. ‘Health Days’
is an important part of building panels. These are made for The factories have also been also address mental wellbeing issues,
Equistone’s pre-acquisition IKEA. These lightweight panels are the designed to generate all of their heating such as identifying what challenges
2.5mm or 2.8mm HDF (high density requirements. This is done by burning all employees are facing and their levels of
due diligence.
fibreboard) panels seen on the back of waste created in the production process. job satisfaction.
furniture. The visible construction is also Consequently, there is no need for oil These events open a dialogue and
Vivonio Furniture Group (Vivonio) has made lightweight by using a honeycomb or gas. MAJA also uses daylight as its have resulted in adaptations such as the
grown into a leading European furniture construction. main lighting source. To further reduce way lighting is used, different flooring in
manufacturer since it was formed There are several environmental energy consumption, MAJA has installed the factory and changes to tools. They
through a secondary management benefits that flow from these construction intelligent lighting, which turns on or off have also encouraged the workforce to
buyout in 2012. Today, Vivonio has six techniques. The first is that 30% less wood depending on whether or not daylight consider factors such as whether they are
subsidiaries in the group including MAJA, is used in MAJA’s furniture construction alone is sufficient. drinking enough water.
a German flat packed furniture specialist thereby reducing dependence on this MAJA also uses water-based lacquers Vivonio is mindful of replicating its
selling to IKEA. natural resource. In addition, the wood that adhere to environmental standards. ESG enhancements at MAJA throughout
used is increasingly coming from Forest It works with UV lacquer systems so as to the group, which has grown to include
Stewardship Council (FSC) certified avoid solvents, which can be harmful to six subsidiaries. Since Equistone
sources. In 2018, this figure was at 70% the environment and to the people using invested, four new businesses have
but MAJA intends to move to 85% during them. been added: Leuwico, a German office
2019. After 2019 the goal is 100%. While natural light and solvent-free furniture company joined in August 2017;
Reducing the weight of furniture by 30% lacquers have environmental benefits, Noteborn, a Dutch company joined in
also impacts transport costs and therefore they also enhance the wellbeing of March 2017; fm Büromöbel, a German
carbon emissions. Previously, trucks employees. MAJA has gone a step further office furniture company joined in
leaving the factory could not be filled. in promoting wellbeing. Twice a year it October 2017; and KA Interiør, a Danish
This is because truck loads are bound by runs ‘Health Days’ for the benefit of all its manufacturer of walk-in wardrobes in
weight rather than being constrained by employees. On ‘Health Days’ specialists June 2018. These subsidiaries were all
the size of the container. Full trucks mean come to talk to the staff about changes subject to an ESG assessment during the
the same fuel costs are spread across they could make to enhance their health. due diligence process.18 EQUISTONE 2018 ANNUAL REVIEW 19
NEW
INVESTMENTS
» With the arrival of Equistone, we will
continue to benefit from the support
of a shareholder that is committed
to our strategic plan. «
Alain de Mendonça, President,
Karavel-Promovacances
and FRAM20 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 21
WHP Telecoms
In March, Equistone backed in the UK, designing wireless sites that
enable mobile network operators to
the management buyout of UK
meet their coverage requirements and
mobile telecoms professional technology roll-outs. Its highly qualified
services provider, WHP staff advise on appropriate site selection
for network deployment and manage
Telecoms.
customers’ complex estates of sites.
The business also manages all aspects
Through its recently closed Fund VI, of site deployment including feasibility
Equistone holds a majority stake alongside studies, site surveys, upgrade works,
the management team and Palatine Private forced site moves, management of tower
Equity, which supported a management erection, commissioning and installation
buyout of the business in 2015. of equipment.
WHP Telecoms has been a provider of WHP Telecoms has developed long-
end-to-end solutions, including planning, term relationships with its customers,
design, acquisition, deployment, upgrade who are key players across the industry
and maintenance of mobile network masts, including Vodafone, EE, H3G, O2, CTIL
antennae and base stations for the wireless and MBNL. The sector is committed to
telecoms sector since it was founded investing in new enhancements and
in 1988. Headquartered in Warrington, technologies, such as 4G upgrades and
the business has further sites in Leeds, the 5G roll-out.
Glasgow, Birmingham and Heathrow. Equistone’s investment will support
Supported by over 440 employees, plans to increase its market share and a
WHP Telecoms has established the largest number of potential add-on acquisitions
specific telecoms design consultancy are currently being explored.
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Mar 2018 UK Telecommunications
EQUISTONE TEAM REVENUE NO. OF EMPLOYEES INVESTMENT TYPE
Andi Tomkinson, Sebastien Leusch £74m 440 Secondary MBO
and Steve O’Hare22 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 23
BOAL Group
Equistone completed the revenue last year.
Equistone holds, through its Fund VI, a
primary management buyout
majority stake in BOAL Group alongside
of BOAL Group in April. Ronald Boers, CEO and nephew of the
founder, Marinus Boers, who retired
Founded in 1970, BOAL Group has in 2007. Since then, Ronald Boers
grown into a market-leading designer has expanded the product range and
and manufacturer with a comprehensive significantly increased exports to North
portfolio of high-end modular aluminium and South America as well as Asia.
greenhouse roofing and side-wall systems BOAL Group is focused on the high-tech
for the global horti- and floriculture glass and foil greenhouse roofing and side-
markets. The production of its high-tech wall systems segment of the wider market,
products is underpinned by its in-house and this segment is anticipated to grow at
experience, know-how, innovation and a CAGR of 8-9% in volume over the next
aluminium extrusion capabilities. The three years. The evidence of this growth
business also supplies the construction, is supported by various global trends
engineering, and transport sectors with including the increased demand for locally
aluminium extrusions. sourced fresh food, water scarcity and
BOAL Group is headquartered climate change.
in Naaldwijk, the Netherlands, and Supported by Equistone, BOAL Group
operates an R&D site, an extrusion plant plans to further develop its market-leading
and a systems plant in the same region, position through continued product
as well as another extrusion plant in the innovation, geographic growth and further
UK. The business currently employs close expansion into the foil greenhouse roofing
to 370 people and generated €156m of and side-wall systems market.
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Apr 2018 Netherlands Industrials
REVENUE NO. OF EMPLOYEES INVESTMENT TYPE EQUISTONE TEAM
€156m 370 Primary MBO Dr Marc Arens, Roman E. Hegglin
and Moritz Treude24 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 25
Karavel-Promovacances
and FRAM
In April, Equistone backed completion of three add-on acquisitions.
As a result, the business doubled in size
the management buyout of
and posted sales of €265m before it was
Karavel-Promovacances and sold to LBO France in 2011, generating
FRAM. a money multiple of 3.0x Equistone’s
investment.
Karavel-Promovacances and FRAM are Founded as a family-owned business in
both leading tour operators in the “value 1949, FRAM is a traditional tour operator
for money” travel segment. Together they with an established brand and a network
hold the number two market position of 40 agencies. FRAM focuses on selling
in France and employ over 600 people package holidays, tours and holiday club
across the business. activities under the Framissima brand.
Karavel-Promovacances is a tour It was acquired by LBO France in 2015,
operator and travel agency founded which began the process of restructuring
in 2000. Promovacances is its flagship the business.
online channel and brand for its network Today, Equistone holds a majority
of 60 agencies across France. The stake in Karavel-Promovacances and
business offers a full range of services, FRAM, through its Fund V, and is backing
including flights, hotel rooms, cruises, the management team’s strategy to
and package holidays, and is supported complete the turnaround of FRAM by
by three call centres. In 2007, Equistone maximising the synergies between the
previously backed a management two businesses, expanding the choice of
buyout of Karavel through its Fund III. destinations, as well as increasing both
During the four-year investment period its online bookings and travel agency
Equistone supported expansion with the networks.
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Apr 2018 France Consumer Services
EQUISTONE TEAM
Guillaume Jacqueau, Julie Lorin, REVENUE NO. OF EMPLOYEES INVESTMENT TYPE
Thierry Lardinois, Florent Rostaing €507m 648 Secondary MBO
and Valérian Fleury26 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 27
Nylacast
Equistone led the management electromechanical braking systems for
the automotive industry. The addressable
buyout of Nylacast in July.
market for worm wheels is forecast to
grow at 10% CAGR. Nylacast currently
Nylacast is a world-class designer and has a 31% share of the market, which has
manufacturer of precision-engineered grown from 21% in 2014.
polymer products, with a strong heritage In recent years, the engineered
in product development and innovation, polymer market has been growing at 7.5%
founded in Leicester in 1967. CAGR and is forecast to grow at 7.1%
The business has two divisions, one CAGR between 2017 and 2021 as polymer
specifically to focus on the automotive solutions, including cast nylon, continue
industry and an engineered products to displace metal, the traditional material
division, which serves a wide range of used in industrial production.
industries, including marine, oil & gas, Equistone acquired a majority stake in
renewable energy, agriculture and Nylacast, through its Fund VI, alongside
construction. All products are designed the management team and CEO, Mussa
and manufactured in-house and the Mahomed, who has worked at the
business employs over 500 people at company for over 35 years and has been
its four manufacturing and distribution pivotal in developing key products that
facilities in the UK, China, the USA and are now established in the market.
South Africa. Nylacast will continue to develop new
Nylacast is a well-established supplier and innovative products and also plans
of metal-nylon bonded solutions, to achieve growth through customer
including worm wheels, which are used wins in new geographies; in particular the
in electronic power steering systems and business will focus on the market in Asia.
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Jul 2018 UK Industrials
REVENUE NO. OF EMPLOYEES INVESTMENT TYPE EQUISTONE TEAM
£53m 530 Secondary MBO Andi Tomkinson, Rob Myers
and Edward Baker28 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 29
Wallenborn
In August, Equistone led the transportation of aircraft engines and
fuselage.
primary management buyout
Equistone invested in the family-run
of road transportation services business, through its Fund VI, alongside
provider, Wallenborn. the current President and CEO, Frantz
Wallenborn, who has been with the
Founded in Luxembourg almost a century business for over 35 years and has a
ago, Wallenborn has built up a network of strong knowledge of the industry.
16 offices in 12 countries across Europe Today, Wallenborn runs a fleet of
and established a strong expertise in over 700 trucks and trailers and employs
road feeder services (RFS). Wallenborn over 400 people, predominately drivers,
transports air cargo across Europe by road trained to high standards of excellence. As
and has grown into the second largest key assets to the business, drivers ensure
player in the RFS industry, delivering to, that Wallenborn maintains the quality of
from and between more than 120 airports. its services and is backed by a dedicated
Wallenborn also offers premium support team.
transportation services including delivery Having established itself as a trusted
of time-critical goods to any European partner to over 800 companies in more
destination within 24 hours, the delivery than 40 markets, Wallenborn will benefit
of high-value cargo and theft protection from Equistone’s support and continue
services for the transportation of luxury to strengthen its positions as a leading
goods and high-end electronic devices, player in a fragmented European market,
temperature control and monitoring whilst pursuing geographic expansion
for perishable goods and livestock, as through potential add-on acquisitions and
well as an outsized cargo service for the the diversification of its current offering.
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Aug 2018 Luxembourg Transportation Services
EQUISTONE TEAM REVENUE NO. OF EMPLOYEES INVESTMENT TYPE
Thierry Lardinois, Grégoire Schlumberger €136m 422 Primary MBO
and Valérian Fleury30 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 31
Small World
Equistone completed the across Europe, the USA, Africa and Latin
America. The business also has a rapidly
acquisition of Small World in
growing digital channel, which benefits
November. from Small World’s cost-effective network
and brand awareness. Recipients can
Through its Fund VI, Equistone acquired choose to collect cash from 250,000
a majority stake in Small World Financial locations, or directly into their account.
Services (Small World) in a management Small World’s proprietary, technology-
buyout from a diverse shareholder base driven infrastructure can transfer money
including FPE Capital, and MMC. The from 32 countries to 188 recipient
management team, led by founder-CEO countries, providing high standards of
Nick Day, has reinvested for a minority regulatory compliance, with its systems
stake. automatically screening each transaction.
Founded in 2005, Small World has For customers, Small World provides
built a global money transfer network, convenience, geographical breadth,
enabling it to send money cross-border choice of channel, speed and value for
quickly and cost-effectively on behalf of its money.
three million active customers. It focuses With Equistone’s support, Small World
on the growing global remittance market, will continue to invest in growing its
and its primary customers are migrant volumes in multiple geographies, and the
workers and professionals sending money physical and digital channels, leveraging
regularly to friends and relatives. its strong infrastructure. There is potential
Small World’s strength currently lies to consolidate smaller remittance
in its physical channels, through over providers, realising synergies and scale
7,000 third-party agents, and its 84 stores, benefits.
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Nov 2018 UK Financial Services
REVENUE NO. OF EMPLOYEES INVESTMENT TYPE EQUISTONE TEAM
£110m 760 Secondary MBO Dominic Geer, Andrew Backen
and Richard Briault32 EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 33
Courir
In October, Equistone part of its wide range of products.
At present, Courir operates
announced it had entered
France’s largest store networks for the
exclusive discussions to acquire fast-growing sneakers market, with 188
a majority stake in Courir. owned stores and 62 affiliate stores. Its
e-commerce website offers home delivery
Founded in 1980, Courir has in recent and in-store delivery services as well as a
years rapidly grown into a leading retailer store-to-web service.
of lifestyle and fashion sneakers in France. The transaction completed in
Primarily, Courir sells sneakers for men, February 2019, with Equistone acquiring
women and children, which represents a majority stake in Courir, through
90% of sales. The business also offers its Fund VI, as part of a €283 million
a range of clothing and accessories. By carve-out from Groupe Go Sport, a
differentiating its position, Courir has been subsidiary of Rallye, which is a quoted
able to attract female consumers and company.
build a loyal customer base, with almost Equistone’s investment will support
two million My Courir loyalty card holders Courir’s plans to roll-out new stores in
and over 700,000 followers through social France and to expand its geographic
media networks. footprint, notably in Spain where four
Courir has strong and long-standing stores were opened in 2018, as well as to
partnerships with more than 20 leading strengthen its omni-channel strategy. A
brand names, including Nike and Adidas, selective add-on acquisition strategy will
and is able to offer exclusive product lines, also be explored to address new markets
limited editions and capsule collections as and strengthen existing positions.
© COURIR / PHOTO BY: JONATHAN WESTPALM VAN HOORN
INVESTMENT DATE COUNTRY BUSINESS DESCRIPTION
Feb 2019 * France Consumer Goods
EQUISTONE TEAM REVENUE NO. OF EMPLOYEES INVESTMENT TYPE
Guillaume Jacqueau, Julie Lorin, Grégoire €326m 1,800 Primary MBO
Schlumberger and Edouard Fillon
* The transaction was announced in October 2018.34 EQUISTONE 2018 ANNUAL REVIEW EQUISTONE 2018 ANNUAL REVIEW // NEW INVESTMENTS 35
EXITS
» Equistone’s strategic guidance has
been instrumental in supporting
the significant growth of UK Power
Reserve. «
Tim Emrich, Co-Founder and CEO,
UK Power Reserve36 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 37
Concept Life Sciences
In January, Equistone services, primarily to customers in
the pharmaceutical, biotechnology,
completed the £163m trade
agrochemical and environmental sectors.
sale of Concept Life Sciences. With Equistone’s support and
investment, Concept Life Sciences
Equistone’s Fund IV investment in created a platform for growth, which
Concept Life Sciences was sold to resulted in the completion of three
Spectris PLC, a productivity-enhancing build-up acquisitions. Dundee-based
instrumentation and controls company CXR Biosciences, a leading investigative
listed on the London Stock Exchange. toxicology business, was acquired in
The transaction resulted in a money August 2015, followed by pharmaceutical
multiple of 2.7x and an IRR of 36%. testing business, Agenda1 Analytical
Equistone led the BIMBO of Services, in October that year. Formed
Peakdale Molecular Limited, Resource & in 2011 by experts from The University
Environmental Consultants Limited and of Edinburgh, Aquila BioMedical was
Scientific Analysis Laboratories Limited acquired by Concept Life Sciences
in 2014, which created Concept Life in October 2017 to expand its range
Sciences. Equistone acquired a majority of integrated drug discovery and
stake in the combined business alongside development services in the cancer
the management team and existing treatment space.
minority shareholders. Concept Life Sciences has grown into
Headquartered in Manchester, a world leading contract research and
Concept Life Sciences provides integrated testing organisation focused on delivering
drug discovery, development, analytical scientific solutions to the global life
testing and environmental consulting sciences sector.
HOLDING PERIOD COUNTRY RETURN
Jul 2014 - Jan 2018 UK 2.7x
EQUISTONE TEAM BUSINESS DESCRIPTION REVENUE PROGRESSION
Steve O’Hare and Support Services £31m / £49m
Andi Tomkinson38 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 39
E. Winkemann
The secondary management Since investment in May 2012,
Equistone supported the management
buyout of E. Winkemann was
team with its plans to continue
completed in April. strengthening its market position by
concentrating on product quality and
Based in the western German state of the efficiency of high-volume production
North Rhine-Westphalia, E. Winkemann processes. Furthermore, Winkemann
(Winkemann) has grown into a leading formed several new partnerships with
manufacturer of precision-stamped Japanese customers. The business has
metal parts, with a history spanning over increased its revenue by more than
80 years. 10 per cent in the last year, having
Winkemann clients are primarily generated over €90 million in turnover
German and international automotive in 2017.
suppliers and manufacturers, for whom Equistone invested in Winkemann
it uses state-of-the-art machinery to through its Fund IV and due to strong
punch, stamp, form bend and deep draw operating cash flow, all capital was
metal components used in gearboxes, returned to investors. The subsequent
axle gears and chassis, among others. Its sale to Cathay Capital generated a
highly skilled and experienced workforce money multiple of 3.6x for its Fund IV
support the business in consistently investment and Equistone retained a
meeting the demands of precise minority shareholding, with Cathay Capital
customer specifications and high-quality holding a majority stake alongside the
standards. management team.
HOLDING PERIOD COUNTRY RETURN
May 2012 - Apr 2018 Germany 3.6x
BUSINESS DESCRIPTION REVENUE PROGRESSION EQUISTONE TEAM
Industrial Engineering €66m / €91m Dirk Schekerka and
Stefan Maser40 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 41
UK Power Reserve
In May, Equistone exited bringing the total number of operational
sites to 32 across England and Wales with
its Fund V investment in
a combined capacity of over 500MW –
UK Power Reserve for an enough to power 375,000 homes. As a
enterprise value of £337m. consequence, revenue quadrupled over
the investment period to over £80m and
UK Power Reserve is a leading flexible its workforce of highly skilled engineers
power generator in the UK. Headquartered more than doubled to 150 employees.
in the West Midlands, the business In recognition of the rapid growth
dispatches power from its own network of in the business, the senior team at UK
mini power stations to the National Grid at Power Reserve won the Mid-Market
times of system stress to reduce the risk Management Team of the Year at the
of disruption to the UK’s electricity supply. Midlands BVCA Awards. Towards the
The demand for its service offering has end of 2017, the company was also
been growing rapidly due to the increase awarded three different ISO awards:
of more volatile renewable energy and the ISO9001 – Quality Management,
decline of coal power stations on the Grid. ISO14001 – Environment Management
Equistone backed the management and OHSAS18001 – Health and Safety
buyout of UK Power Reserve in 2015 from Management, demonstrating the robust
Fortress and Barclays Natural Resource systems which had been incorporated
Investing with a view to supporting into its operations.
an increase in capacity through the Acquired by Singapore-headquartered
construction of new sites. Seventeen Sembcorp, the sale of UK Power Reserve
gas power stations were added to its generated a Sterling money multiple of
portfolio during the investment period, 2.4x and an IRR of 47%.
HOLDING PERIOD COUNTRY RETURN
Nov 2015 - May 2018 UK 2.4x
BUSINESS DESCRIPTION REVENUE PROGRESSION
ukpo erreserve
EQUISTONE TEAM
SUPPORTING A RENEWABLE FUTURE Phil Griesbach and Electricity £20m / £80m
Paul Harper42 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 43
Travel Counsellors
Equistone sold its investment in technology, with more than £6m set
aside to spend on IT developments
in Travel Counsellors, a global
and upgrades in 2018 for its travel
leisure and corporate travel professionals, whose numbers have
business, in May. grown to more than 1,700. The existing
management team was strengthened by
Founded in 1994, Travel Counsellors the appointment of a new CFO, IT director,
offers bespoke travel solutions through digital/marketing director, sales director,
a network of self-employed travel HR director and non-executive chairman.
professionals located in the UK, Ireland, Having relocated its headquarters
the Netherlands, Belgium, South Africa, from Bolton in 2016 to Trafford Quays,
Australia and the United Arab Emirates. Travel Counsellors’ state-of-the-art
Utilising Travel Counsellors’ proprietary offices has space for its expanding team
technology platform, Phenix, to assist of support staff and in-house training
them in running their business, each facilities for its agents.
agent is able to offer customers a high Travel Counsellors has been named
level of personal service. in the Sunday Times HSBC International
Equistone supported the primary Track six times, and in 2017 it won the
management buyout of Travel Counsellors Best Customer Focus Award in the 2017
in October 2014 alongside founder, UK National Business Awards.
David Speakman and managing director, The sale of Equistone’s Fund IV
Steve Byrne. investment in Travel Counsellors through
During the holding period, Equistone a secondary management buyout to
has supported Travel Counsellors plans Vitruvian Partners resulted in a money
to significantly increase its investment multiple of 2.9x and an IRR of 35%.
HOLDING PERIOD COUNTRY RETURN
Oct 2014 - May 2018 UK 2.9x
BUSINESS DESCRIPTION REVENUE PROGRESSION EQUISTONE TEAM
Consumer Services £416m / £594m Steve O’Hare44 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 45
Karl Eugen Fischer
In June, Equistone realised Fischer for over 10 years.
Equistone acquired its stake in Karl
its investment in Karl Eugen
Eugen Fischer in August 2013, from
Fischer. Equita, who had been invested since
2008. With Equistone’s support, Karl
Karl Eugen Fischer was sold to Deutsche Eugen Fischer has continued to innovate
Beteiligungs AG, which resulted in a to improve machine functionality and
money multiple of 2.5x and IRR of 22.5% develop its systems in order to maintain
on Equistone’s Fund IV investment, which its leading market position. The business
excludes deferred consideration in the has expanded its reach into new regions
form of a vendor loan and an earn-out. and gained new blue-chip customers,
Karl Eugen Fischer manufactures which has resulted in revenue increasing
cutting machines, which are from €75m in 2013 to €90m budgeted for
predominantly used to assemble plies the year ending 2018.
and breakers which give tyres their The business is headquartered at its
shape and provide driving stability. production site in Burgkunstadt, northern
The business has established itself Bavaria, with a sales and servicing office
as a world-leading manufacturer of in the US, backed by a workforce of some
cord-cutting machines, with over 550 people. Having established a strong
70 per cent market share, since it was reputation as one of the most reliable
founded in 1940. The business is led by suppliers in the industry, its machines are
Simone Thies, Commercial Managing recognised as the “gold standard” in the
Director, who has been with Karl Eugen tyre industry.
HOLDING PERIOD COUNTRY RETURN
Aug 2013 - Jun 2018 Germany 2.5x *
EQUISTONE TEAM BUSINESS DESCRIPTION REVENUE PROGRESSION
Dr Marc Arens and Industrial Engineering €75m / €90m
Leander Heyken
* Excluding deferred consideration in the form of a vendor
loan note and an earn-out.46 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 47
Mademoiselle Desserts
Equistone realised its Equistone has worked alongside the
management team to support three
investment in Mademoiselle
strategic add-on acquisitions outside of
Desserts in July. France. In November 2014, Mademoiselle
Desserts acquired The Handmade Cake
Founded in 1984, Mademoiselle Desserts Company, which accelerated its growth
is a leading French manufacturer of in the UK and increased its production
frozen industrial finished and semi- capacities in high growth markets,
finished pastry, which has successfully such as gluten-free product ranges.
built a strong range of innovative products Quality Pastries, acquired in October
for its retail customers and today is one 2016, operates a production facility in
the major players in Europe. the Netherlands and specialises in the
Since Equistone’s investment development and manufacturing of
in November 2013, Mademoiselle products such as frozen puff pastries,
Desserts has been able to increase its choux pastries and sponges for its
manufacturing sites to five in France, three international customer base. In December
in the UK and one in the Netherlands. The 2016, UK-based Ministry of Cake, a
business has also expanded its product leading producer of cakes, puddings and
offering and increased exports, which has desserts with two production facilities,
resulted in a revenue increase from €135m was added to the group and grew into a
in 2013 to €225m budgeted for 2018. Its UK leader in frozen pastry.
highly experienced workforce has grown The sale of Mademoiselle Desserts to
to 1,400 people, who work closely with funds advised by IK Investment Partners
customers to develop bespoke desserts to resulted in a money multiple of 3.2x
the highest food standards. Equistone’s Fund IV investment.
HOLDING PERIOD COUNTRY RETURN
Nov 2013 - Jul 2018 France 3.2x
BUSINESS DESCRIPTION REVENUE PROGRESSION EQUISTONE TEAM
Consumer Goods €135m / €225m Guillaume Jacqueau, Arnaud Thomas
and Thierry Lardinois48 EQUISTONE 2018 ANNUAL REVIEW // EXITS EQUISTONE 2018 ANNUAL REVIEW // EXITS 49
Caseking
In August, Equistone and Nitro Concepts as well as external
growth through the completion of four
completed the sale of its
strategic build-up acquisitions, having
majority stake in Caseking to successfully integrated the UK-based
funds advised by Gilde Buy Out hardware components provider,
Overclockers, prior to our investment.
Partners.
Caseking’s geographic footprint has been
strengthened following the acquisition
The transaction generated a money of Kelly-tech in Hungary in July 2014
multiple of 3.2x and an IRR of 29.7% on and Portugal-based Globaldata in
Equistone’s Fund IV investment. February 2017. Caseking later expanded
Caseking has established itself as a into the Nordic region following the
leading European supplier of PC gaming, acquisitions of Trigono, a Swedish B2B
eSports and tech products since it was software and hardware distributor, in
founded by keen gaming enthusiasts, Kay November 2017 and Finnish-based online
Kostadinov and Toni Sonn, in 2003. retailer of IT-hardware, components
Equistone supported the secondary and entertainment electronics, Jimm’s
management buyout of Caseking from PC-Store, in March 2018.
German private equity fund, Afinum, in At the end of Equistone’s holding
March 2014, having identified the strong period, Caseking had expanded its
growth potential of its niche market. workforce to 400 people across its sites in
With Equistone’s support, Caseking has Germany, the UK, Scandinavia, Southern
achieved strong organic growth through and Eastern Europe as well as Taiwan and
the development and roll-out of its own more than doubled its revenue to €239m
brand products such as Noblechair, Kolink in 2018.
HOLDING PERIOD COUNTRY RETURN
Mar 2014 - Aug 2018 Germany 3.2x
EQUISTONE TEAM BUSINESS DESCRIPTION REVENUE PROGRESSION
Alexis Milkovic and Retail €96m / €239m
Leander HeykenYou can also read
