Oakley Capital Investments Limited has announced that it has been informed that Cinven has reached an agreement to sell Host Europe Group, the largest privately owned hosting provider in Europe, to GoDaddy Inc, which it says is the world’s largest cloud platform dedicated to small independent ventures. Oakley Capital Private Equity II took a minority interest in Host Europe Group following its sale of intergenia Holdings GmbH to Host Europe Group in January 2015.
Oakley Capital Investments Limited says that, as a limited partner in the Fund, this transaction is expected to generate cash proceeds to the of approximately €14.4 million for the company. It says that this will result in an uplift in its indirect economic interest in Host Europe group of approximately £3.3m over the carrying value reported as at 30 June 2016, equivalent to a 1.8 pence per share increase in the interim NAV.
The company also says that this exit is expected to generate a gross money multiple and IRR of 2.1x and 40% respectively for the Fund and that the sales proceeds of approximately €41.8m represent an uplift of €13.0m, or 45%, on Host Europe |Group’s June carrying value of €28.8m. The company says that, since the acquisition of intergenia in January 2014, the combined return to the Fund across both the Host Europe Group and intergenia investments is expected to be 1.8x and 44% respectively.
The transaction is expected to close in the second quarter of 2017, subject to customary regulatory and other closing requirements.
Oakley Capital Investments to realise stake in Host Europe Group : OCL