HgCapital Trust plc
Hg, the Manager of HgCapital Trust plc ("the Company"), today announces the sale of Teufel to Naxicap Partners. The terms of the transaction were not disclosed.
The Company, whose shares are listed on the London Stock Exchange, gives private and institutional investors the opportunity to participate in all Hg's investments.
The Company will realise estimated cash proceeds of approximately £15.2 million on completion of this transaction. This would represent an uplift of £5.4 million (56%) or 15 pence per share over the carrying value of £9.7 million in the Net Asset Value ("NAV") of the Company at 31 March 2018.
Based on the 31 March 2018 reported NAV (adjusted to provide for the final dividend and including all transactions announced to date and the resulting revaluation of the carried interest provision), the pro-forma NAV of the Trust is expected to be £712.5 million (or 1,908.9 pence per share). The Company's liquid resources available for future deployment (including all announced transactions and after payment of the final dividend on 27 April 2018) are estimated to be £162 million (23% of the pro-forma 31 March 2018 NAV). In addition, the Company has access to a £80 million standby facility, which is currently undrawn.
Hg agrees sale of Teufel to Naxicap Partners
30 April 2018. Hg today announces the sale of Teufel, a leading European direct-to-consumer online brand for audio solutions, based in Germany, to Naxicap Partners, one of France's leading private equity companies.
Teufel's ability to control its entire value chain puts it in a unique position and enables it to offer better value for money to its customers. Based in Berlin with around 200 employees, Teufel is focused on the mid-to-high-end segment of the audio solutions market and has built a very strong customer base over the last 40 years.
Since Hg partnered with Teufel in 2010, it has supported the successful transition from a traditional loudspeaker company to a high-quality brand for state-of-the-art audio solutions, through the introduction of new categories and technologies, including wireless streaming, headphones and portables.
Martin Block and Stefan Margolis, Hg, said: "We wish Sascha and Joachim well for the next phase of growth and we congratulate them and the team at Teufel for the great results over the last few years. Teufel has achieved a number of milestones during this time, including the acquisition of Raumfeld in 2010 and substantial revenue growth, increasing from around €40m to over €100m today."
Sascha Mallah and Joachim Wimmers, Managing Directors at Teufel said: "We are very happy to be joining forces with Naxicap Partners, a very successful and experienced investor in the field of consumer audio. Together we are going to tap Teufel's full potential across new markets. We will continue to offer our core products, such as AI speakers, headphones, portable audio and compact home cinema, to a wider direct customer base. We want to thank Hg for their strong commitment over the years and highly valuable support. The future will be loud!"
For further details:
Hg
Laura Dixon |
+44 (0)20 7089 7888 |
Maitland
Vikki Kosmalska and Seda Ambartsumian |
+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 Company is a client of Hg, giving investors exposure to a portfolio of high-growth private companies, through a liquid vehicle. New investments and existing portfolio companies are managed by Hg, 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 Hg's, HgCapital Trust's, NAXICAP Partners', Natixis Investment Managers', Teufel'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.
