CapMan Plc Stock Exchange Release 16 February 2017 at 8.30 a.m. EET
CapMan's subsidiary Norvestia exits Idean Enterprises Oy - another success for the Growth Equity team
Norvestia has agreed to sell its ownership in the rapidly growing Idean Enterprises Oy to the global IT Services Group Capgemini. Capgemini will acquire the entire share capital of Idean and the transaction is estimated to close by the end of February. Norvestia invested in Idean in 2014 and owned 24.8 per cent of it.
Conditional to the close, the exit contributes approx. €6-7 million to CapMan's first quarter 2017 net result booked as a positive fair value change. CapMan announces its first quarter 2017 result on 4 May 2017 in an interim report, which includes a comprehensive account of factors affecting result development for the quarter. On 31 December 2016 Norvestia's Net Asset Value (and Shareholders' Equity) was €124.6 million. The effect of the sale on the Net Asset Value corresponds to approx. 6 per cent in the first quarter of the year. The exit has a significant positive effect on cash flow upon completion. According to market practice, the final purchase price is determined in the next two years following the exit. The parties have agreed not to disclose the purchase price.
Idean is a global design firm that works with the world's leading companies, helping them create long-lasting relationships with their customers, through truly value-creating experiences. Idean's core know-how is the design of different strategic customer and user experiences.
"Idean has been an excellent investment for us. Our goal was to take Idean's design know-how global and in this we have succeeded well - Idean is the first Finnish-born design company to make a breakthrough in the US. We are proud that we have had the opportunity to co-operate with professionals of Idean. This transaction represents a marquee deal by any metrics and proof that Idean's know-how is highly appreciated," says Juha Mikkola, Member of the Board in Idean and responsible for Growth Equity investments at CapMan.
"The active cooperation with Norvestia has had a significant impact on the growth and development of our company, and we are very grateful to Norvestia for their support. Idean has grown profitably and our team today consists of over 150 designers, technologists and strategists. A significant part of our current customers are major global companies", summarises Risto Lähdesmäki, Founder and CEO at Idean.
CAPMAN PLC
DISTRIBUTION Nasdaq Helsinki Principal media www.capman.com
More information: Juha Mikkola, Growth Equity, CapMan Plc, p. 050 590 0522, juha.mikkola@norvestia.fi
Risto Lähdesmäki, CEO and Founder, Idean Enterprises Oy, p. +1 (650) 308-6288, risto.lahdesmaki@idean.com
CapMan Plc www.capman.com twitter.com/CapManPE
CapMan is a leading Nordic investment and specialised asset management company. As one of the Nordic private equity pioneers we have actively developed hundreds of companies and real estate and thereby created substantial value in these businesses and assets over the last 25 years. CapMan has today 100 private equity professionals and manages €2.8 billion in assets. We mainly manage the assets of our customers, the investors, but also make direct investments from our own balance sheet in areas without an active fund. Our objective is to provide attractive returns and innovative solutions to investors and value adding services to professional investment partnerships, growth-oriented companies and tenants. Our current investment strategies cover Buyout, Growth Equity, Real Estate, Russia, Credit and Infrastructure. We also have a growing service business that currently includes fundraising advisory, procurement activities and fund management.
Idean Enterprises Oy is a Finnish-born company specialized in the design of digital services and user experiences, whose customers include world-leading companies in Europe, the US and Asia. Hundreds of millions of people all around the world use the services designed by Idean. In 2016, Idean's revenue amounted to EUR 25 million of which 70% came from international markets. Idean's studios are located in Finland (Helsinki, Tampere), Germany (Berlin) and in the US (Palo Alto, San Francisco, Los Angeles, Austin (TX) and New York). The company employs over 150 people. www.idean.com
