Sale of Clarion
HG Capital Trust PLC
21 February 2008
The following is the text of a press release issued by HgCapital, which manages
the investment portfolio of HgCapital Trust plc alongside those of other
institutional clients. On completion of the sale of Clarion Events, HgCapital
Trust plc, a listed investment trust giving investors the opportunity to
participate in all of HgCapital's investments, will realise a total of about
£ 12.6 million. The impact of the realisation on the net asset value of
HgCapital Trust plc represents an increase of approximately 15.0p per share
over the published 30 November 2007 net asset value of 920p (which has since
increased by 68p following the completion of the sale of Hofmann Menu and the
sale of The Sanctuary Spa).
HgCapital sells Clarion Events for £120.5 million
London, 21st February 2008: HgCapital, the European sector-focused private
equity investor, today announced the sale of Clarion Events Ltd ('Clarion') to
the US private equity investor Veronis Suhler Stevenson for an enterprise value
of £120.5 million. This is HgCapital's second major exit in 2008 and eighth
transaction since August 2007. The sale represents a 34% IRR for investors.
HgCapital backed the £45m buy out of Clarion in October 2004 from property group
Earls Court & Olympia. Clarion is the biggest independent exhibition and events
business in the UK with a portfolio of 65 business-to-business and consumer
shows. Its best known events include:
- The Olympia International Horse of the Year Show
- The International Casino Exhibition
- MPH Motor Show, featuring Jeremy Clarkson
- Mortgage Business Expo
- Baby 2008; and
- The Fine Art & Antiques Fair
Under its ownership, HgCapital has worked closely with the incumbent management
team to grow the business well ahead of the market both organically and through
acquisition. Under HgCapital, revenues have grown from £30m to £53m, the number
of major events and exhibitions organised has more than doubled, increasing from
30 to 65 and employee numbers have risen by more than 50%, from 120 to 185. In
addition, Clarion has successfully expanded internationally with events
organised in 14 countries around the world and the opening of a US office.
HgCapital has also supported management in making 8 acquisitions.
Robin Lincoln, Director of HgCapital commented:
'We are delighted with the progress Clarion has made, measured by any metric,
under our ownership. Our sector-led approach enabled us to identify a business
with real expansion potential in the attractive sub-sector of business and
professional information. Through supporting management in entering new sectors
and in making a series of bolt-on acquisitions, Clarion is now well placed to
continue to grow internationally.'
-Ends-
Contacts:
HgCapital
Robin Lincoln Tel: +44 (0) 207 089 7888
Maitland
Peter Ogden Tel: +44 (0) 207 379 5151
About HgCapital
HgCapital is a sector focused private equity investor in the European
mid-market. We focus on investments with an enterprise value in the range of
£50-£500 million. Our business model combines sector specialisation with
dedicated, pro-active support to our portfolio companies as well as the
corresponding management expertise across all phases of the investment process.
HgCapital manages more than €2.5 billion for some of the world's leading
institutional and private investors. Our goal is to achieve outstanding results
for our investors, management team and intermediaries.
For further details, see www.hgcapital.com
This information is provided by RNS
The company news service from the London Stock Exchange
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