Apax Partners and Cinven sell fashion group CBR to EQT
22nd February 2007Apax Apax Partners and Cinven Limited today announce that they have signed an agreement to sell German fashion group CBR - in which they are equal shareholders -
Apax Partners and Cinven Limited today announce that they have signed an agreement to sell German fashion group CBR - in which they are equal shareholders - to EQT V.
Frankfurt / Munich, 22 February 2007 Apax Partners ("Apax") and Cinven Limited ("Cinven") today announce that they have signed an agreement to sell German fashion group CBR ("CBR") - in which they are equal shareholders - to EQT V. CBR is one of the leading fashion companies in Germany, with brands including Street One, Cecil and One Touch. The transaction is subject to the approval of the relevant competition authorities.
CBR was acquired from its original founders by Cinven and Apax at the end of 2004. Since the acquisition both firms have actively supported CBR's management team in the continuation of its rapid expansion strategy.
Under their ownership, the number of partner stores was increased to 850 in CBR`s core markets, the number of in-store shops to over 1,500 and the number of multi-label stores to over 5,600. Turnover grew continuously at double digit rates to a total of more than €600 million in 2006. The investment funds view this as another example of their constructive and successful collaboration.
Christian Dosch, Partner at Cinven, said: "Our growth strategy for CBR has delivered real value. We have expanded the business and enhanced its internal structures. CBR has now established a much stronger competitive position which is opening up further growth opportunities. CBR has been an extremely successful investment for us and we wish the company, its management and staff continued growth in the future."
Christian Näther, Managing Partner at Apax added: "Vertical integration, an extremely fast time-to-market process and a strong focus on close cooperation with partners have all contributed to the success of this investment. We thank the CBR management team for their contribution throughout our ownership and wish them continued success going forward."
CBR is one of the leading international companies in the fashion sector. With its successful business model, CBR produces twelve collections a year for each label, offering its retail partners the greatest possible speed of turnover and response capability.
Apax Partners is one of the world's leading private equity investment groups. It operates across the United States, Europe, Israel and Asia and has more than 30 years of investing experience. Funds under the advice of Apax Partners total in excess of €15 billion around the world. These Funds provide long-term equity financing to build and strengthen world-class companies. Apax Partners Funds invest in companies across its global sectors of Tech & Telecom, Retail & Consumer, Media, Healthcare and Financial & Business Services. Recent Apax Partners' Funds investments include Tommy Hilfiger, Central European Media Enterprises, PVH/Calvin Klein, TIM HELLAS, Inmarsat, Mölnlycke Healthcare, Kabel Deutschland, Intelsat, New Look and World Directories. www.apax.com
Cinven is one of the most prominent and successful investors in the European buy-out market. It has led transactions with a value in excess of €60 billion.
From its offices in Frankfurt, London, Milan and Paris, Cinven focuses exclusively on creating value in companies headquartered in Europe, which have a minimum enterprise value of €500 million and are market leaders or have the potential to become such.
Established in 1977, the firm has been a totally independent business since 1995. The fourth Cinven fund, which closed at €6.5 billion in June 2006, is to date the largest source of private equity capital dedicated solely to European buy-outs.
Cinven's recent investments include Phadia [€1.2 billion], Avio [€2.5 billion], Kabelcom [€2.6billion], Casema/MultiKabel [€2.85 billion] and Ahlsell (€1.2 billion). Recent exits include United Biscuits [€2.4 billion] and MediMedia [€1.1 billion].
Cinven Limited is authorised and regulated by the Financial Services Authority. www.cinven.com
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