TIDMHGT
RNS Number : 3609D
HgCapital Trust PLC
26 April 2017
26 April 2017
HgCapital, the Manager of HgCapital Trust plc (the "Company"),
has announced that it has agreed the sale of QUNDIS, a leading
provider of sub-metering solutions in Europe, to a German
investment group around KALORIMETA ("KALO"), a leading service
providers for climate-intelligent solutions in the buildings
sector, for a total enterprise value of c. EUR400 million.
The sale of QUNDIS delivers a c. 3.5x investment multiple and a
c. 30% gross IRR over the investment period. HgCapital will also
retain a minority position in the combined group.
The Company, whose shares are listed on the London Stock
Exchange, gives private and institutional investors the opportunity
to participate in all HgCapital's investments. The Company will
realise cash proceeds of approximately GBP36.9 million on
completion of this transaction. When combined with the retained
stake, this represents an uplift of GBP9.4 million (28%) or 25
pence per share over the carrying value of GBP33.9 million in the
Net Asset Value ("NAV") of the Trust at 31 March 2017 which was
based on the Directors' valuation as at 31 December 2016.
Based on the 31 March 2017 reported NAV (including the impact of
the revaluation of the carried interest provision and the proposed
dividend payable in May 2017), the pro-forma NAV of the Trust is
expected to be GBP614.0 million (or 1,645.1 pence per share). The
Company's liquid resources available for future deployment
including all announced transactions and the proposed dividend are
estimated to be GBP106 million (17% of the pro-forma 31 March 2017
NAV). In addition, the Company has access to a GBP80 million
standby facility, which is currently undrawn.
HgCapital announces sale of QUNDIS to KALORIMETA
-- Twelfth realisation from HgCapital 6 Fund, delivering a 3.5x
investment multiple and 30% IRR
-- HgCapital has returned over GBP1.2 billion to clients over
the last twelve months with seven exits and multiple portfolio
refinancings since the Brexit vote
-- Second realisation by HgCapital's Munich team over the last 6
months, delivering an overall investment multiple of 2.7x / gross
IRR of 32%. This follows the new investments in Raet and STP
completed in 2016
26 April 2017: HgCapital is pleased to announce that it has
agreed the sale of QUNDIS, a leading provider of sub-metering
solutions in Europe, to a German investment group around KALORIMETA
("KALO"), a leading service providers for climate-intelligent
solutions in the buildings sector. Furthermore, HgCapital will
retain a minority position in the combined group.
HgCapital initially invested in QUNDIS in May 2012.
Headquartered in Germany, QUNDIS was created in 2008 from the
merger of QVEDIS (previously part of Siemens) and KUNDO
SystemTechnik and currently has more than 250 employees. QUNDIS
supplies a comprehensive range of sub-metering and communication
devices used to measure, collect and transmit accurate consumption
data for heat and water usage at the household unit level, serving
the SME independent sub-metering supplier and building technology
markets across Europe. QUNDIS' products are sold in over 30
countries, with the largest markets being Germany and Italy.
Key value drivers during HgCapital's investment period have been
the consolidation of Qundis' production facilities into a single
new state-of-the-art site in 2013, and the development of a
highly-advanced gateway and software solutions to offer a
comprehensive, market-leading remote read-out solution. Through its
technological leadership and reputation as quality leader, QUNDIS
has been able to develop further into new customer segments and
service offerings on a truly European scale. QUNDIS' growth also
continues to benefit from broader market fundamentals such as the
mandatory actual consumption-based billing (under the European
Energy Directive), which HgCapital identified as a driver when the
initial investment was made. Overall, QUNDIS is a great example of
tech-enablement transforming a business.
The realisation of QUNDIS represents the twelfth exit from the
HgCapital 6 (2009), which has now delivered overall realised
returns of 2.3x and a 24% gross IRR. The Fund has returned in cash
120% of the original investment made. The sale follows the
successful exit of Zenith announced in January earlier this year,
which returned 2.9x / 47% gross IRR, and a number of further
realisations from HgCapital 6 are anticipated over the coming
months.
The sale of QUNDIS' continues HgCapital's strong 20-year long
track record of investing in hidden champions in the German market,
across the Industrials, Services and TMT sectors. The Munich-based
HgCapital team have seen significant activity over the past twelve
months including the exit from P&I announced in September last
year (which returned 2.3x / 37% gross IRR), as well as the new
investments in Raet and STP.
Justin von Simson, Managing Partner HgCapital, and Head of
HgCapital's Munich Office, said: "We are very pleased to have
achieved an outstanding result for our clients and furthermore to
have identified KALORIMETA group as a strong partner for QUNDIS. We
are also excited by the opportunity to continue to work with the
existing businesses of the group in the future to build a leading
company in the field of intelligent buildings and climate control.
We would like to thank the management and employees of QUNDIS for
their outstanding work and effort to achieve this outcome".
Dieter Berndt, CEO at QUNDIS commented: "We very much look
forward to working within the new partnership, as we see multiple
opportunities for further improving and completing our solution
offering. It is our strong conviction that the combination will
allow both companies to benefit strongly from their respective
expertise and enables us to have an even more attractive value
proposition for all our customers".
Jan-Christoph Maiwaldt, CEO at KALORIMETA commented "This
acquisition is another milestone in the company's digital
transformation. My colleague Andreas Göppel and I are very pleased
that we have successfully completed the acquisition. We're now able
to offer all parts of the value chain around the subject of smart
sub metering and smart building individually or as a full service
all over Europe."
HgCapital were advised by Rothschild, Latham and Watkins,
Deloitte, and E&Y
- Ends -
For further details:
HgCapital
Laura Dixon +44 (0)20 7089 7888
Maitland
Tom Eckersley +44 (0)20 7379 5151
About HgCapital Trust plc
HgCapital Trust plc is an investment trust whose shares are
listed on the London Stock Exchange (ticker: HGT.L). The Trust is a
client of HgCapital, giving investors exposure to a portfolio of
high-growth private companies, through a liquid vehicle. New
investments and existing portfolio companies are managed by
HgCapital, an experienced and well-resourced private equity firm
with a long-term track record of delivering superior risk-adjusted
returns for its investors. For further details, please see
www.hgcapitaltrust.com.
Neither the contents of HgCapital Trust's, HgCapital's, QUNDIS',
nor KALORIMETA's websites nor the contents of any website
accessible from hyperlinks on the websites (or any other website)
is incorporated into, or forms part of, this announcement.
.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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