2/29/2012 11:00 AM CVC Capital Partners agrees acquisition of Ahlsell

Funds advised by CVC Capital Partners (‘CVC’) today announced the EUR 1.8billion acquisition of Ahlsell, the Nordic region's leading technical products wholesaler from Cinven and Goldman Sachs Capital Partners. This transaction marks the successful completion of exclusive talks between these parties.

Ahlsell’s history stretches back to 1877 and today it has some 4,500 employees and over 220 outlets in Sweden, Norway, Finland, Denmark, Estonia and Russia. The company specialises in providing professional users with a wide range of goods and peripheral services within the heating & plumbing, electrical, tools & machinery, refrigeration and DIY product space. In 2011, Ahlsell reported revenues of EUR 2.3 billion.

Göran Näsholm, President and CEO of Ahlsell, said: “We are delighted by this transaction and are confident that it will result in the building of an even stronger company. CVC has an unrivalled track record of long‐term investment in its portfolio companies, and I look forward to what will be a close working relationship. Continuing, Näsholm said: “Importantly, CVC shares our vision and can provide the capital and expertise to support Ahlsell into a period of renewed growth, which is without question to the benefit of our customers.”

CVC sees the acquisition of Ahlsell as an opportunity to work with a highly skilled and experienced management team to continue the development of one of Europe’s most dynamic distribution groups. In a joint statement, Peter Törnquist and Søren Vestergaard‐Poulsen, Partners at CVC, said: “Ahlsell is a household name and an excellent business with a very strong brand. At CVC we like to work with companies over the long‐term, where there is an opportunity to work in true partnership with the organisation and create real and sustainable value. Our acquisition of Ahlsell offers an exciting platform for growth, both organically and through acquisitions, and we look forward to working with the management team to help the company realise its longterm potential.”

The completion of the transaction is subject to customary competition clearances. CVC was advised by Deutsche Bank, Roschier, Freshfields, KPMG and BCG. Financing was led by Nordea, Deutsche Bank, Goldman Sachs, Barclays Capital, DNB Nor and Danske Bank.

ENDS

CVC Capital Partners

CVC Capital Partners (‘CVC’) is one of the world’s leading Private Equity and investment advisory firms. Founded in 1981, CVC today has a network of 20 offices and some 250 employees throughout Europe, Asia and the US. Currently, CVC manages funds on behalf of over 300 investors from North America, Europe, Asia and the Middle East, who entrust their capital to CVC for periods of 10 years or more.

Raised from pension funds, financial institutions and various other partners, CVC Funds seek to identify attractive investments and develop sustainable, long‐term value in close partnership with management teams. To date, CVC has raised over US$44 billion from a diverse and loyal investor base, completing over 290 investments in a wide range of industries and countries across the globe, with an aggregate transaction value of US$167 billion. In total, we manage over US$37 billion and are investing from CVC Tandem Fund, CVC Fund V and CVC Asia III.

The CVC team’s local knowledge and extensive contacts underpin a 30‐year proven track record of investment success. Thanks to its extensive international presence, CVC excels at pulling together cross‐border resources to assess investment opportunities quickly and consistently, so allowing sound and timely decisions to be made on questions of value. This is key both in deal completion and in generating strong returns for investors. Today, CVC Funds own 55 companies worldwide, employing around 400,000 people in numerous countries. Together these companies have combined annual sales of over US$127 billion.

About Ahlsell

Ahlsell is the leading distributor of electrical, refrigeration and heating and plumbing products to trade and DIY enthusiasts in the region, with more than 220 outlets in Sweden, Norway, Finland, Denmark, Estonia and Russia. It offers a wide range of products and services in heating and plumbing, electrical, tools and machinery, refrigeration and DIY. The Group has an annual turnover of approx. EUR 2.3 billion and about 4,500 employees.

Media contact
James Olley
Brunswick Group
T: +44 (0)80 7404 5959
E: cvc@brunswickgroup.com