International and technical B2B wholesaler active in a niche market
Sell-side
Manufacturing
International
10 - 50
5 - 10 mln
P04507
The investment opportunity concerns a technical wholesaler with over a century of experience in lifting, hoisting, and height safety equipment.
Business activities
Company concerns a technical wholesaler with added value, active in the heavy industry and entertainment market. The company has an international customer base.
Investment considerations
Wide-ranging portfolio with strong own brand – Strong brand positioning and segmentation, enabling the company to target the lower, middle and upper segments. The company sells leading third-party and its own brands; representing +30% of total sales.
Solid financial performance with strong outlook for 2022 and beyond – Year to date (H1) the company achieved over 30% growth compared to last year. Especially the entertainment market was impacted by COVID-19 but year to date the company has been able to fully recover from the pandemic.
Multiple concrete growth pillars to be monetised – New markets to enter, product portfolio expansion and online sales optimisation through its own web shop and websites such as Amazon. The overall outlook for the coming years is positive.
Diversified and loyal customer base with very low customer dependence – The company has a diverse and international (approximately 30 countries) customer base of which the top 10 customers are accountable for only circa 25% of the sales. Approximately 90% of the sales were achieved with recurring customers.
Transaction rationale
Due to a lack of succession, the shareholders are currently exploring the opportunity to sell their stake and/or to partner with a new shareholder.
The company’s majority shareholder and director will leave the company after fulfilling a successful transition period, and therefore will have to be replaced by a new director.
The preferred transaction structure is a transfer of 100% of the shares. However, the shareholders strongly believe in the company’s outlook. Hence, to attract the appropriate partner to preserve the continued growth of the company, the shareholders are open to reinvesting a minority stake.
