HgCapital to exit Foundry with strong return – The private equity firm Hg, manager of the tech-focused HgCapital Trust (HGT) has announced the sale of Foundry to Roper Technologies for £410m. Hg acquired Foundry, a leading global developer of high-end visual effects and 3D design software, in 2015.
HGT will receive cash proceeds of £28m from the deal. Looking forward, Hg states that the trust’s liquid resources available for future deployment (including all announced transactions) are estimated to be £144m. In addition, the Company has access to a £80 million standby facility, which is currently undrawn.
Hg has at least doubled its return after buying Foundry from Carlyle in 2015 for £200m. Foundry’s software is used in several blockbuster film franchises, such as Harry Potter and Star Wars.
Hg bought Foundry from the Hg7 fund in 2015 for £200mn. Over its ownership period, Hg main focuses included broadening Foundry’s go-to market strategy and accelerate growth of the company’s digital design division.
About HGT
The fund gives investors exposure to a diversified portfolio of private equity investments, predominantly in the technology and tech-enabled sector. The UK, North America and Scandinavia regions account for close to two thirds of its geographical exposure.
HGT reported year-end results for 2018 earlier this month (Hg Capital mulls fundraise and share split)
HGT: HgCapital to exit Foundry with strong return