Oakley realises stake in Host Europe Group

RNS Number : 1666R

Oakley Capital Investments Limited

07 December 2016

 

7 December 2016

Oakley Capital Investments Limited

Oakley realises stake in Host Europe Group

Oakley Capital Investments Limited¹ (AIM:OCL, OCL, the "Company"), has been informed that Cinven has reached an agreement to sell Host Europe Group ("HEG"), the largest privately owned hosting provider in Europe, to GoDaddy Inc (NYSE: GDDY) the world's largest cloud platform dedicated to small independent ventures. Oakley Capital Private Equity II² (the "Fund") took a minority interest in HEG following its sale of intergenia Holdings GmbH ("intergenia") to HEG in January 2015.

As a limited partner in the Fund, this transaction is expected to generate cash proceeds to the Company of approximately €14.4 million. This will result in an uplift in the Company's indirect economic interest in HEG of approximately £3.3 million over the carrying value reported as at 30 June 2016, equivalent to a 1.8 pence per share increase in the interim NAV. (GBP/EUR: 1.19)

This exit is expected to generate a gross money multiple and IRR of 2.1x and 40% respectively for the Fund. The sales proceeds of approximately €41.8 million represent an uplift of €13.0 million, 45%, on HEG's June carrying value of €28.8 million. Since the acquisition of intergenia in January 2014, the combined return to the Fund across both the HEG and intergenia investments is expected to be 1.8x and 44% respectively.

HEG was Oakley's third investment in the hosting space and demonstrates its expertise in the TMT sector, which it continues to build upon. 

The transaction is expected to close in the second quarter of 2017, subject to customary regulatory and other closing requirements.

Peter Dubens, Director, commented:

"Oakley Capital is delighted to see the success of our original partnership with the two entrepreneurial founders of intergenia, result in the sale of HEG to GoDaddy.  Oakley has had repeated success in its investments in the hosting sector over the past decade and we wish HEG every success in this next phase of ownership"

- ends -

For further information please contact:
Oakley Capital Investments Limited	[phone]
Peter Dubens (Director)
FTI Consulting LLP	[phone]
Edward Bridges / Stephanie Ellis
Liberum Capital Limited (Nominated Adviser & Broker)	[phone]
Steve Pearce / Steve Tredget

¹About Oakley Capital Investments Limited ("OCL")

Oakley Capital Investments Limited is a Bermudian company listed on AIM. OCL seeks to provide investors with long term capital appreciation through its investments in Oakley Capital Private Equity L.P., Oakley Capital Private Equity II, Oakley Capital Private Equity III and, through co-investment opportunities.

²About Oakley Capital Private Equity L.P. ("Fund I"), Oakley Capital Private Equity II ("Fund II") and Oakley Capital Private Equity III ("Fund III")

Oakley Capital Private Equity L.P. and its successor funds, Oakley Capital Private Equity II and Oakley Capital Private Equity III, are unlisted mid-market private equity funds with the aim of providing investors with significant long term capital appreciation. The investment strategy of the funds is to focus on buy-out opportunities in industries with the potential for growth, consolidation and performance improvement.

 

END

 

 

MSCUBONRNKAURRA