Apax Partners

(Artikel in Englisch) Cinven and Apax Partners Funds to acquire VNU World Directories in a 2,075 million Euro transaction

Funds advised by Apax Partners and Cinven will hold equal stakes in World Directories.  The acquisition has been structured with equity finance from the €4.4 billion third Cinven fund and the €4.4 billion Apax Europe V Fund.  Debt facilities to support the transaction have been arranged and underwritten by a syndicate comprising JP Morgan, CSFB, Goldman Sachs and Bank of America.
World Directories, employing approximately 2,200 people, publishes Yellow Pages directories and telephone books in print, on-line and mobile formats.  The group is market leader in each of the seven countries in which it operates, namely Belgium, The Netherlands, Ireland, Portugal, Romania, Puerto Rico and South Africa.  World Directories produces 125 directories with a circulation of over 40 million copies, under brand names such as Golden Pages, Gouden Gids, Pages d’Or, Páginas Amarelas and Pagini Aurii. 
For the year to 31 December 2003, World Directories generated €492 million of revenues and €228 million of EBITDA (including attributable EBITDA from associates).
Tom Hall, Director of Apax Partners, said:
"World Directories is a strong and highly profitable business with significant opportunities for growth. We believe we have a great opportunity together with management to create value as the business enters this new stage of its development. 
“Building on Apax Partners’ experience in the directories industry, with prior Apax Partners Funds’ investments in Yell and Thomson Directories, and the experience of investing in publishing of our partner Cinven, World Directories will have the strategic support, financial backing and commitment it needs to realise these opportunities. We will invest in the key assets of the company - its brands, sales forces and products - to drive the business forward."
Commenting on the acquisition, Cinven Partner Brian Linden, said:
“World Directories is a very stable, high margin and cash generative business with significant growth opportunities both in print and on-line.  We see substantial upside for the group through a tightly focused strategy of investment in the sales force, marketing and product development. 
“World Directories has been a highly sought after asset. It is a very attractive international business with a strong reputation.  Our strategy will aim to build on World Directories’ strength as a world-class player in directory publishing.  We have a proven track record of investing in the media sector and today’s acquisition is in line with our focus of backing leading European businesses with compelling growth prospects.”
UBS Investment Bank and JPMorgan acted as financial advisers to Cinven and Apax Partners. 

For further information:
Apax Partners
Tom Hall, Director +44 (0) 20 7872 6300
Apax Partners press enquiries
Juliana Wheeler/Clare Sillars +44 (0) 20 7872 6300
Cinven
Brian Linden/Stuart McAlpine +44 (0) 20 7661 3333
Cinven press enquiries - Financial Dynamics
Harriet Keen/Fergus Wheeler +44(0) 20 7831 3113

Notes to Editors

Cinven
Cinven is one of the most prominent and successful investors in the European buyout market.  It has led transactions with a value in excess of €40 billion.
From its offices in Frankfurt, London and Paris, Cinven focuses exclusively on creating value in companies headquartered in Europe, which have a minimum enterprise value of €250 million and are market leaders or have the potential to become so.
Cinven has previously made successful investments in the publishing sector including the acquisition of Aprovia and MediMedia, the business and healthcare publishing activities of Vivendi Universal in June 2002 for €493 million and the €600 million management buy-out of Wolters Kluwer academic publishing arm, subsequently merged with BertelsmannSpringer (now Springer) following its acquisition from Bertelsmann for €1.050 million in September 2003.
Established in 1977, the firm has been a totally independent business since 1995. Its current fund, which closed at €4.4 billion in April 2002, is one of the largest sources of private equity dedicated solely to European buyouts.  Cinven’s most recent investments include Springer (€1.6 billion), Fitness First (€580 million), Gala (€1.9 billion) and NCP (€1.3 billion). 
Cinven Limited is authorised and regulated by the Financial Services Authority.  For further information, please visit the company website: www.cinven.com

Apax Partners
Apax Partners is one of the world’s leading private equity investment groups, operating across Europe, Israel, and the United States. With over 30 years of direct investing experience, Apax Partners’ Funds provide long-term equity financing to entrepreneurs to build and strengthen world-class companies. It pursues a balanced equity portfolio strategy, investing in companies at all stages of development from venture capital to buy-out.
Apax Partners’ Funds invest in companies across its 6 chosen global sectors of media, information technology, telecommunications, healthcare, financial services, retail and consumer. Some of Apax Partners’ Funds media investments include Yell, Thomson Directories, Dutch newspaper publisher PCM Uitgevers, Streetbroadcast, Virgin Radio and Future Publishing.
For additional information, visit the web site at www.apax.com