Nordic institutional investors invest alongside private equity
investors and management
Visma Group Holdings ("Visma"), the Nordic region's leading provider of
business management software and services announced today that its
shareholder structure, valuing the enterprise at NOK 21 billion,
is now comprised of the private equity investors Kohlberg Kravis Roberts
("KKR"), HgCapital and Cinven as co-lead shareholders, each with an
equal stake in the business; Nordic institutional investors, including
Ilmarinen, the leading Finnish earnings-related pension insurer and
Storebrand, the leading Norwegian life
insurance and pension savings company as co-investors with private
equity investors; and the Visma management including more than 200
KKR, the previous majority owner of Visma, will sell down from 76%, but
retain a significant ownership of 31,3 % in the business. HgCapital,
which has 16% of the shares now will sell out, but will re-invest with a
new fund bringing them to 31,3%. HgCapital and KKR will partner with the
new investor Cinven that also will hold 31,3%. Management of Visma will
own 6% of the shares in Visma. Several Nordic institutional investors
will co-invest with the private equity investors.
Through this transaction, there will be no change in the management or
the strategy of Visma. The new owners want to develop Visma in
accordance with the existing strategy and continue the rapid growth of
Visma. High quality products and services, good customer care and
innovations within cloud services to achieve business efficiency will
still be the main strategy of Visma.
Oystein Moan, CEO of Visma said:
"Our company is a real Nordic success story. We have built a strong
track record of consistent high revenue and profit growth, supported by
product innovation including cloud-based business solutions and
E-government solutions. Such a journey is not possible without the right
shareholder base and support. I strongly feel that the mix of private
equity investors, leading institutional investors and the Visma
management team serves us very well in the realization of our ambitions.
I am pleased by the increasing role of the Nordic institutional investor
base and find this recognises the standing of our company."
Nic Humphries, Managing Partner and Head of TMT of HgCapital said:
"HgCapital has been a partner for Visma over the past 8 years and the
company is a highly successful example of our investment focus on
companies with predictable revenues and high levels of intellectual
property that provide platforms for growth significantly ahead of GDP
growth. We are delighted to be backing the management going forward."
Henrik Kraft, Partner, head of the European technology and
telecommunications team and head of Nordic operations of KKR said:
"Quite simply, Oystein Moan and his team are creating a true Nordic
Champion and we are proud to be part of the journey, supporting the team
and the company in any way we can through our global network and
expertise in technology."
David Barker, Partner and Head of the TMT team at Cinven, said:
"Visma is a great business, run by a first class management team. We
are very excited to be investing and will be focused on supporting the
company's growth, drawing on our significant experience through our
technology-related and Nordic investments."
Since taking Visma private through a public offer in 2006, management
has worked closely with HgCapital and subsequently KKR to grow the
business both organically and through acquisitions. During this period,
Visma has built an impressive track record of growth, based on
continuous investment in employment and research and development. More
than 75 bolt-on acquisitions were completed and total revenues grew from
NOK 2 306m in 2006 to NOK 6 452m in 2013, a compound annual growth rate
of 16%. EBITDA increased from NOK 305m in 2006 to NOK 1 325m in 2013, a
compound annual growth rate of 23%. Furthermore, the number of employees
increased from 2,512 to 5,648 during this period of high growth.
HgCapital, KKR and the management shareholders of Visma were advised on
the sale by ABG Sundal Collier, Morgan Stanley, Schjødt, Simpson
Thatcher and White and Case.
Visma is the leading provider of business management software and
services in the Nordic region. The group comprises three divisions which
are Visma Software SMB, Visma BPO, Visma Software GLA(Government & Large
Accounts). As one of few suppliers to combine software and BPO services,
Visma has been a Nordic and European consolidator as the products and
services have become increasingly popular among the company's more than
340,000 customers. Today, Visma is known for developing leading software
solutions and high-quality services for satisfied customers in
combination with financial strength and solid growth. The objective is
to make the customers more efficient and competitive. Visma is
headquartered in Oslo, Norway. The Visma Group is represented in Norway,
Sweden, Denmark, Finland, the Netherlands, Romania, Lithuania and the
UK. For further details, pls see www.visma.com.
HgCapital is a sector expert private equity investor, supporting
management teams to grow industry champions. Deeply resourced sector
teams focus on specific sub-sectors and investment themes to identify
companies occupying an established market position, and which have the
potential to grow faster than their market, create employment and become
the leader in their industry. HgCapital's dedicated portfolio management
team provides practical support to management teams to help them realise
their growth ambitions. HgCapital invests in expanding segments of the
TMT, Services, Industrials, Healthcare and Renewable Energy sectors
across Western Europe.
Based in London and Munich, HgCapital manages over £5 billion for some
of the world's leading institutional and private investors. For further
details, please see www.hgcapital.com.
KKR is a leading global investment firm that manages investments across
multiple asset classes including private equity, energy, infrastructure,
real estate, credit and hedge funds. KKR aims to generate attractive
investment returns by following a patient and disciplined investment
approach, employing world-class people, and driving growth and value
creation at the asset level. KKR invests its own capital alongside its
partners' capital and brings opportunities to others through its capital
markets business. References to KKR's investments may include the
activities of its sponsored funds. For additional information about KKR
& Co. L.P. (NYSE:KKR), please visit KKR's website at www.kkr.com.
Cinven is a leading European private equity firm focused on building
world-class Europe-focused companies. Its funds invest in six key
sectors: Business Services, Financial Services, Healthcare, Industrials,
Consumer and Technology Media and Telecommunications (TMT).
Cinven funds acquire companies with significant operations in Europe
that require an equity investment of €100 million or more. Its European
focus and expertise are complemented by an ability to capitalise on
global growth opportunities through its Asian office. For more
information, please visit www.cinven.com
Neither the contents of Visma's, HgCapital's, KKR's nor Cinvens's
websites nor the contents of any website accessible from hyperlinks on
the websites (or any other website) is incorporated into, or forms part
of, this announcement.
For further details, please contact:
Øystein Moan, CEO, Visma AS
920 80 000
+44 (0)20 7379 5151
KKR RLM Finsbury
+44 207 2513801
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