DC Advisory advised IDH Group on the sale of DD Group to an affiliate of Sun European Partners

Background

• IDH Group (IDH) - a portfolio company of Palamon Capital Partners - is Europe’s largest dental care provider through its trading brand {my}dentist
• IDH subsidiary, DD Group, headquartered in Essex, is the UK and Ireland’s leading dental and medical aesthetics distributor and service provider, operating in five locations, with c.600 people
• DD Group supplies over 12,000 dental practices and 6,000 medical beauty clinics, with a stock keeping unit (SKU) range of over 30,000 - including over 3,000 SKUs from its own label (Unodent)

Process

• DC Advisory (DC), led by Richard Madden and Amish Bakhai, was engaged by IDH in October 2021 to identify suitable buyers for DD Group
• DC’s M&A advisory team managed the sale process, including bidder identification and interactions, valuation support, marketing materials preparation, project management and negotiations
• DC’s Debt Advisory team co-ordinated a lender education process - providing private equity bidders with a range of attractive, credit approved debt offers
• Following a highly competitive process, the transaction successfully completed in May 2022

Outcome

• DD Group successfully partnered with an affiliate of Sun European Partners (Sun), a leading private investment firm
• Following Sun's investment, incumbent DD Group CEO Paul Adams, and his management team, plans to continue DD Group’s strong track record of growth across its three service lines: dental products, dental services, and medical aesthetics - supplemented by targeted M&A
• This transaction is expected to close in June 2022, subject to customary closing conditions and regulatory approval
• This transaction exemplifies DC’s dental expertise within its Healthcare franchise

"I would like to thank DC Advisory, led by Richard and Amish, for their unparalleled service and advice. They were professional, hands-on, and provided considered advice that was instrumental in the successful outcome of this highly competitive process."

"I would like to thank Richard, Amish and the DC team for their invaluable guidance throughout the process. It has been an absolute pleasure to work with such a talented and committed team. DC truly understood our business and helped articulate our growth strategy, enabling us to attract the ideal partner for DD Group’s next stage of development."

"The DC Advisory team did an outstanding job throughout, minimising the sale process burden on the management and shareholders. Importantly, the DC team stood out by showing a great deal of craftsmanship and thoughtfulness in matchmaking between buyers and what DD offers as a leading and high potential platform."

"We are delighted to have advised Palamon, IDH Group and the DD Group on this transaction. Paul and his team have built a leading healthcare distribution and value added services business, which is well placed to continue its strong track record of growth. We wish the DD Group team continued success under Sun’s ownership and are once again pleased to have worked with Palamon and IDH."