European Capital said Monday that it has received 27.4 million pounds from exiting its investment in DX’s IPO. DX is a logistics and parcel distribution firm that operates throughout the UK and Ireland.
ST. PETER PORT, Guernsey, March 10, 2014 /PRNewswire/ — European Capital Limited and its consolidated subsidiaries (“European Capital”) announced today that they received proceeds of £27.4 million pursuant to the initial public offering (“IPO”) of DX Group Plc (“DX”) on the AIM Market, which has valued DX at a market capitalisation of £200 million.
European Capital invested second lien and mezzanine debt supporting the buyout of DX by funds managed by Candover Partners Limited in 2006. European Capital subsequently worked with Arle Capital Partners and other lenders to agree to a restructuring in 2010, following which European Capital became both a supportive shareholder with board representation and a lender.
With shareholder support, a new management team led by CEO Petar Cvetkovic and David Hoare as Chairman repositioned the business, with a greater focus on parcels culminating in the acquisition of Nightfreight in 2012.
European Capital has sold its full equity holding in the IPO and the value of the proceeds, together with interest received historically, has resulted in a full recovery of its initial investment.
Jerry Tebbutt, Managing Director of European Capital Financial Services Limited (“ECFS”), commented “We have greatly enjoyed working with Petar, David and the DX team over the last four years. The acquisition of the freight business in 2012 has transformed the group and the service offering of the DX Group. We wish the team every success in the future as a listed group.”
Petar Cvetkovic, CEO of DX, commented “We’ve been very pleased to work with European Capital who have been a strong and supportive partner during our four year commitment to the DX Group.”
ABOUT EUROPEAN CAPITAL
European Capital is an investment company for pan-European equity, mezzanine and senior debt investments with €0.9 billion in assets under management. European Capital is a wholly-owned affiliate of American Capital, Ltd (“American Capital”). It is managed by European Capital Asset Management Limited (the “Investment Manager”), a wholly-owned affiliate of American Capital. The Investment Manager has offices in London and Paris with 55 employees. Since its inception, European Capital Limited has invested €3.5 billion in over 100 companies in Europe. European Capital and its affiliates will consider senior and mezzanine debt investment opportunities from 10 million to 100 million in either euros or sterling and up to 400 million for One Stop Buyouts®. For further information, please refer to www.EuropeanCapital.com.
ABOUT AMERICAN CAPITAL
American Capital (Nasdaq: ACAS) is a publicly traded private equity firm and global asset manager. American Capital, both directly and through its asset management business, originates, underwrites and manages investments in middle market private equity, leveraged finance, real estate, energy and infrastructure, and structured products. American Capital manages $19 billion of assets, including assets on its balance sheet and fee earning assets under management by affiliated managers, with $93 billion of total assets under management (including levered assets). Through an affiliate, American Capital manages publicly traded American Capital Agency Corp. (Nasdaq: AGNC) with approximately $9 billion of net book value, American Capital Mortgage Investment Corp. (Nasdaq: MTGE) with approximately $1 billion of net book value and American Capital Senior Floating Ltd. From its eight offices in the U.S. and Europe, American Capital and its affiliate, European Capital, will consider investment opportunities from $10 million to $750 million. For further information, please refer to www.AmericanCapital.com.
DX is a leading independent logistics and parcel distribution company operating throughout the UK & Ireland, established in 1975 and headquartered in Iver. DX is renowned for offering quality service, high security, and customer choice to public and private sector organisations, providing proven next day delivery for mail, parcels and 2-Man deliveries to business and residential addresses nationwide. As a specialist provider of time sensitive, mission critical, 2-Man and high value deliveries, DX routinely handles goods from many retailers, high street retailers, and a wide range of items from many industry sectors. DX is the preferred provider of the UK Government and foreign embassies for identity documents and visas. For further information, please refer to www.thedx.co.uk.