U.K. private equity firm 3i Group has sold Mémora Group, an Iberian funeral services provider, to Ontario Teachers’ Pension Plan. The purchase price was not disclosed; however, 3i said the deal generated proceeds of £117 million ($194 million). Based in Barcelona, Mémora operates 115 parlours, 24 crematoriums, 13 cemeteries and 91 retail outlets in the Iberian Peninsula. It was bought by 3i in 2008. Ontario Teachers’ Senior Managing Director Jo Taylor said Mémora “presents a unique opportunity to invest in a sector we have extensive experience in.” Earlier in 2017, the pension fund acquired French funeral services provider OGF.
3i announces sale of Mémora generating proceeds of £117 million
17 Jul 2017
3i Group plc (“3i”), and funds managed by 3i, today announce the sale of Mémora, the leading Iberian funeral services company, to Ontario Teachers’ Pension Plan (“Ontario Teachers’”), Canada’s largest single-profession pension plan. Proceeds to 3i will be £117m. This compares to a valuation of £86m at 31 March 2017.
Mémora was founded in 2001 and is headquartered in Barcelona. It is the leading funeral services player in the Iberian market, with a total of 115 parlours, 24 crematoriums, 13 cemeteries and 91 retail outlets in the Iberian Peninsula. It has a leading position in Barcelona as well as in other regional markets in Spain and Portugal, and a strong foothold across its remaining markets. It offers a range of funeral services such as ceremonies, documentation support and dedicated family consultants.
3i invested in Mémora in 2008. Since then, the company has expanded through both acquisitions and organic growth. In 2011, Mémora increased its shareholding in Serveis Funeraris de Barcelona to 85%, thereby consolidating its leadership position in the region. In addition, multiple acquisitions have been completed across Spain and Portugal, including Agnus Dei in 2015. Early on, 3i supported the implementation of a comprehensive Corporate Governance programme, focused on developing the overall strategy. 3i also introduced Juan Jesús Domingo as CEO and Richard Golding, initially as Non-Executive Director and then as Chairman, to the Board.
Pablo Echart, Director at 3i Spain, commented:
“During our investment period, Mémora has cemented its leading market position in the provision of funeral services in Spain and Portugal. With 3i’s support, Mémora’s management team has built a differentiated robust business model to capture the growth potential in this market. I would like to thank CEO Juan Jesús Domingo and his team for their commitment, and I wish them well in the future”.
Juan Jesús Domingo, CEO of Mémora, added:
“3i has been an extremely supportive partner to Mémora. It has helped us to develop our commercial platform, including the design and launch of the Electium service, and to improve our customer-centric, high quality delivery model. We look forward to working with our new investor to further accelerate Mémora‘s growth.”
Jo Taylor, Senior Managing Director, International, of Ontario Teachers’, commented:
“Mémora presents a unique opportunity to invest in a sector we have extensive experience in and fits our investment mandate perfectly. By partnering with the market leader, we will build on Mémora’s strong business foundations, and grow its geographical footprint, while supporting the delivery of a best in class customer relations model. We look forward to working with management and the broader team on this exciting new chapter.”
For further information, contact:
3i Group plc
Kathryn van der Kroft
Tel: +44 20 7975 3021
Tel: +44 20 7975 3258
Tel: +1416 (228) 6862
Tel: +44 20 3772 2579
Mémora is the leading Iberian funeral services company. The company was founded in 2001 and is headquartered in Barcelona. Mémora’s footprint and market position in Spain and Portugal make it the undisputed leader in the sector. Each year over 45,000 families trust Mémora to deliver on its service proposition, based on quality, innovation and a differentiated client approach.
About 3i Group
3i is an investment company with two complementary businesses, Private Equity and Infrastructure, specialising in core investment markets in Northern Europe and North America. For further information, please visit: www.3i.com
3i’s Private Equity team provides investment solutions for growing companies, backing entrepreneurs and management teams of mid-market companies with an EV typically between €100m – €500m. We back international growth plans, providing access to our network and expertise to accelerate the growth of companies across the consumer, industrials and business and technology services industries.
About Ontario Teachers’
The Ontario Teachers’ Pension Plan (Ontario Teachers’) is Canada’s largest single-profession pension plan, with C$175.6 billion in net assets at December 31, 2016. It holds a diverse global portfolio of assets, approximately 80% of which is managed in-house, and has earned an average annualized rate of return of 10.1% since the plan’s founding in 1990. Ontario Teachers’ is an independent organization headquartered in Toronto. Its Asia-Pacific region office is located in Hong Kong and its Europe, Middle East & Africa region office is in London. The defined-benefit plan, which is fully funded, invests and administers the pensions of the province of Ontario’s 318,000 active and retired teachers. For more information, visit otpp.com and follow us on Twitter @OtppInfo.
Photo courtesy of Mémora Group