• Twelfth realisation from HgCapital 6 Fund, delivering a 3.5x investment multiple and 30% IRR
• HgCapital has returned over £1.2 billion to clients over the last twelve months with seven exits and multiple portfolio refinancings since the Brexit vote
• Second realisation by HgCapital’s Munich team over the last 6 months, delivering an overall investment multiple of 2.7x / gross IRR of 32%.  This follows the new investments in Raet and STP completed in 2016

26 April 2017: HgCapital is pleased to announce that it has agreed the sale of QUNDIS, a leading provider of sub-metering solutions in Europe, to a German investment group around KALORIMETA (“KALO”), a leading service providers for climate-intelligent solutions in the buildings sector. Furthermore, HgCapital will retain a minority position in the combined group.

HgCapital initially invested in QUNDIS in May 2012. Headquartered in Germany, QUNDIS was created in 2008 from the merger of QVEDIS (previously part of Siemens) and KUNDO SystemTechnik and currently has more than 250 employees. QUNDIS supplies a comprehensive range of sub-metering and communication devices used to measure, collect and transmit accurate consumption data for heat and water usage at the household unit level, serving the SME independent sub-metering supplier and building technology markets across Europe. QUNDIS’ products are sold in over 30 countries, with the largest markets being Germany and Italy.

Key value drivers during HgCapital’s investment period have been the consolidation of Qundis’ production facilities into a single new state-of-the-art site in 2013, and the development of a highly-advanced gateway and software solutions to offer a comprehensive, market-leading remote read-out solution. Through its technological leadership and reputation as quality leader, QUNDIS has been able to develop further into new customer segments and service offerings on a truly European scale. QUNDIS’ growth also continues to benefit from broader market fundamentals such as the mandatory actual consumption-based billing (under the European Energy Directive), which HgCapital identified as a driver when the initial investment was made. Overall, QUNDIS is a great example of tech-enablement transforming a business.

The realisation of QUNDIS represents the twelfth exit from HgCapital 6 (2009), which has now delivered overall realised returns of 2.3x and a 24% gross IRR. The Fund has returned in cash 120% of the original investment made. The sale follows the successful exit of Zenith announced in January earlier this year, which returned 2.9x / 47% gross IRR, and a number of further realisations from HgCapital 6 are anticipated over the coming months.

The sale of QUNDIS’ continues HgCapital’s strong 20-year long track record of investing in hidden champions in the German market, across the Industrials, Services and TMT sectors. The Munich-based HgCapital team have seen significant activity over the past twelve months including the exit from P&I announced in September last year (which returned 2.3x / 37% gross IRR), as well as the new investments in Raet and STP.

Justin von Simson, Managing Partner HgCapital, and Head of HgCapital’s Munich Office, said: “We are very pleased to have achieved an outstanding result for our clients and furthermore to have identified KALORIMETA group as a strong partner for QUNDIS. We are also excited by the opportunity to continue to work with the existing businesses of the group in the future to build a leading company in the field of intelligent buildings and climate control. We would like to thank the management and employees of QUNDIS for their outstanding work and effort to achieve this outcome”.

Dieter Berndt, CEO at QUNDIS commented: “We very much look forward to working within the new partnership, as we see multiple opportunities for further improving and completing our solution offering. It is our strong conviction that the combination will allow both companies to benefit strongly from their respective expertise and enables us to have an even more attractive value proposition for all our customers”.

Jan-Christoph Maiwaldt, CEO at KALORIMETA commented “This acquisition is another milestone in the company’s digital transformation. My colleague Andreas Göppel and I are very pleased that we have successfully completed the acquisition. We´re now able to offer all parts of the value chain around the subject of smart sub metering and smart building individually or as a full service all over Europe.”

HgCapital were advised by Rothschild, Latham and Watkins, Deloitte, and E&Y

The management of Verasol Holding B.V. ( “Verasol” ) and AAC Capital ( “AAC” ) today announced the acquisition of Verasol from Committed Capital. Verasol is a successful and fast growing manufacturer of residential verandas, garden rooms and carports in the Netherlands and Germany, with the ambition to become the leading European brand in residential outdoor living. With AAC as a new partner, management of Verasol look forward to accelerate its growth by leveraging on AAC’s extensive experience in brand development and roll-out strategies. The management team of Verasol, led by CEO Cor den Hartogh, will invest alongside AAC.

Verasol develops and produces made-to-order aluminium verandas, garden rooms, window frames, glass sliding systems, carports and accessories under the Verasol brand. The company was founded in 2001 with headquarters in Helmond (The Netherlands) and operates a state-of-art production facility and distribution centre in Wachtendonk (Germany). Over the last years, sales grew double digit supported by the consumer trend to spend more time outside and extend the outdoor season, through extending residential outdoor living space with high comfort levels. The company realizes EUR 25 million in sales and employs ca. 110 employees. Verasol’s distinguishes itself by a complete range of high quality products and related service, at attractive prices. Custom-fit finished products are delivered through selected dealers and own stores, primarily in the Netherlands and Germany.

This is the fifth platform acquisition for AAC’s Benelux focused Fund and fits AAC’s strategy to invest in companies with strong international growth potential.

Cor den Hartogh, CEO Verasol, says:

“Together with Committed Capital and the founder Mr. B. Verhoeven we have successfully expanded our product range and set up a new production facility. AAC’s investment is a validation of the course we have embarked on. In AAC we find a like-minded partner, who shares our ambition for strengthening the Verasol brand and accelerating international growth both in own stores and the dealer network. We have the ambition to become the leading brand in residential outdoor living in selected European countries including the Netherlands, Germany, France, Belgium and the UK. ”

Marc Staal, Chairman at AAC, says:

“We are very excited to have the opportunity to invest in Verasol alongside management. Cor den Hartogh and his team have built a solid business with a broad product portfolio of quality products, lean business processes and dual distribution strategy. We look forward to working with them and using our network and expertise to support the company in its next growth phase”

Albert van der Wal, Partner Committed Capital, says:

“During our investment period we have replaced the founder of Verasol by a new management team. Together with this team we implemented the dual distribution strategy, expanded to Germany, Belgium and France and set up the own production facilities in Germany. This all led to a strong growth of the business. We thank the management team of Verasol for the fruitful and pleasant cooperation and wish Verasol all the best with the new shareholder and the continued growth ambitions.”

Notes to Editors

About Verasol Holding B.V.

Verasol was founded by in 2001 and has grown to become a quality brand for outdoor living. Verasol produces 6.500 garden rooms on an annual basis and employs ca. 110 employees. The company sells a wide range of products in the Netherlands, Germany, France and Belgium through its own store network, selected dealers and distributors.

www.verasol.nl

About AAC Capital

With offices in Amsterdam and Antwerp, AAC is a leading Benelux mid-market buy-out firm, which has to-date completed 31 management buyouts. It targets opportunities for majority stakes in profitable, cash-generative companies headquartered in the Benelux. AAC’s deal size is typically between €10 and €150 million, and it is currently investing from its third, Benelux focussed fund. AAC is a growth-oriented investor, with such companies in its portfolio as Desotec, Corilus, Lubbers Transport Group and Hobré Instruments.

www.aaccapital.com

Axon Partners Group, through the Amerigo Ventures Pacífico Fund, invests in Boxi through a direct investment in the company Colchones REM S.A.S. with the objective of scaling local production and becoming the reference company within the mattress industry in South America.

Colchones REM is the first eCommerce of mattresses in Colombia and one of the first in the region. Since its inception the company has provided Colombian consumers with the possibility of accessing high quality products at prices below those seen on the market. Starting in 2016, the company turned the business around and developed the vertical Boxi (http://www.boxisleep.com/), which sells its own high-quality mattress manufactured using top technology and materials to provide the best rest and comfort. During 2016, Colchones REM gave a strong boost to its Boxi platform and the company adds several thousand mattresses sold since its inception in 2014.

About this transaction Mr.Alfonso De León, CEO of Axon Partners Group, commented “We are very excited about this transaction. We have closely followed this industry in several regions for some time and we believe that this business model, which we know well, with an interesting growth potential. In addition, the company is led by an exceptional entrepreneur, passionate and veteran in this industry.” This investment reaffirms Axon’s leadership position in the digital ecosystem in the Latin American region where it already has 9 investments made.

As per  Mr.Santiago Varenkow, founder and CEO of the company, he said “With this new investment, by one of the most recognized funds in the region, we can take the company to the next level and revolutionize the rest industry in Colombia and throughout Latin America. Our mission for this new stage is to democratize the good rest and to transform what until now was an unpleasant and boring experience, in an easy, fast, pleasant and even fun experience”.

About Axon Partners Group (www.axonpartnersgroup.com)

Axon Partners Group is a Spanish consulting and investment firm with a VC & PE division that manages funds in Europe, Asia, and Latin America. Through its Amerigo Ventures Private Equity Fund, Axon is actively involved in the digital ecosystem of the Latin American region.

About Colchones REM/Boxi (www.boxisleep.com)

BOXI is a premium mattress designed with the newest technologies and materials available currently. It is the first mattress in Colombia to combine high density foam, memory foam and latex, which recreates the perfect formula that guarantees maximum comfort and the best rest. Thanks to the quality of its materials, it was possible to compress, seal it to the void, roll it and pack it in a small and practical box, which is delivered in less than 2 hours in the city of Bogotá. In addition, innovating and optimizing every link in the supply chain, it was possible to offer this high-end mattress to the third part of the average market price.