Deal volumes across the Benelux region for Q3 2019 have remained consistent with those of recent years, it appears that the mid-market private equity space is set to become more competitive. Through growing Brexit uncertainty in the UK market and competitive UK corporate tax rates in the region, private equity firms are moving across to Benelux, with several having already set up offices in Amsterdam.
It is interesting to observe that, although the number of buyouts completed in the Benelux during Q3 2019 remain almost identical to figures posted in the same quarter of 2018, the sectoral composition of the deal volume has shifted. This shift can be seen most notably across the Services and the Leisure & Retail sectors, where Services transactions have increased by 66% on Q3 of 2018 and have accounted for over 50% of buyouts this quarter. By contrast, Consumer, Leisure & Retail transactions are at their lowest level since Q3 2015, recording a hefty fall of 86% on the previous quarter.
Consumer, Leisure and Retail:
- Sofina has acquired a 25% stake in Drylock Technologies, a Belgium-based company engaged in manufacturing of hygiene products, for a consideration of €150m
- BC Partners has agreed to acquire Synthon International Holding, a Netherlands-based pharmaceutical company specialising in the development and distribution of complex generics, from its parent company, Synthon Holdings, for an undisclosed consideration
Industrial Products & Services:
- Equistone has agreed to acquire Heras, the Netherlands-based provider of mobile and permanent perimeter protection systems, from CRH, for an undisclosed consideration
- Sparring Capital has acquired Nalys Sprl, a Belgium-based high technology consulting company, from Lion Capital, for an undisclosed consideration
- Waterland has acquired The Rent Company, a Netherlands-based provider of full-service rental subscription laptops for secondary education, from BB Capital Investments, for an undisclosed consideration
- Five Arrows Principal Investments has agreed to acquire an undisclosed majority stake in SUCSEZ Groep, a Netherlands-based insurance company, from Capital A Investment Partners, for an undisclosed consideration
- Gilde Buy Out Partners has acquired Xindao, the Netherlands based supplier of promotional items and gifts, from Perusa, for an undisclosed consideration
Benelux deals by sector