3i agrees £137m Mayborn deal
3i, Europe's leading private equity company, today announces that it has agreed a recommended offer for Mayborn Group plc, a leading manufacturer and distributor of baby (82% of group EBITDA) and household products (18% of group EBITDA).
As part of the investment, 3i will introduce Nish Kankiwala as the new Chief Executive of the Group. The offer values Mayborn's equity at £116.3m (£137m enterprise value).
The deal follows closely on the footsteps of another 3i public to private transaction, the acquisition of Chorion, the brand management business which owns well known brands such as Noddy, Mr Men and Agatha Christie. The £110m public to private of Chorion was completed last week.
The Mayborn division has a wide range of international brands (including its Tommee Tippee brand range) which are well known for their prominent position in leading retailers and excellence in innovation. The business has grown EBIT at a CAGR of 20% over the last three years and is a strong platform for further UK and international expansion. The Household Division consists of a stable of brands in fabric dyes, cleaning products and craft accessories, including the market leading brand Dylon.
Nish Kankiwala was previously President of Burger King International and spent nine years at PepsiCo including four years as European President of PepsiCo Beverages following 15 years at Unilever. 3i's established international footprint, alongside Nish's experience in consumer brands will assist in driving Mayborn's growth internationally and increase the scale of Mayborn's core brands.
Senior and mezzanine facilities have been provided by Barclays Leveraged Finance.
Alan Giddins and Jennifer Dunstan, the 3i Partners who led the deal commented: "We identified Mayborn as a strong business with exceptional growth potential and our investment in this business fits perfectly with 3i's commitments to investing in brands with strong core values. We're delighted that Nish has agreed to join what is already a highly experienced management team".
Nish Kankiwala added: "I am extremely excited to be working alongside 3i as the new Chief Executive of Mayborn. The Group's Tommee Tippee and Dylon brands are very well regarded for their excellence in innovation and I believe there is significant potential for them to become truly global brands through geographic expansion and widening of the customer base."
Notes to editors
3i is a world leader in private equity and venture capital. We focus on buyouts, growth capital and venture capital and invest across Europe, in the United States and Asia. Our competitive advantage comes from our international network and the strength and breadth of our relationships in business. These underpin the value that we deliver to our portfolio and to our shareholders.
3i Buyout Business
The 3i European Buyout Business is a leader in the European mid-market. We lead mid-market buyouts up to €1bn using insight from our local knowledge, international connections, and our sector teams. Managing over €3.5bn invested in over 100 companies across Europe, the business invests in all sectors, with a particular focus on media, healthcare and business support services. Some recent investments include Chorion - Media - UK - £110m, Keolis - France - €540m - passenger transport, Hobbs - UK - €158m - women's fashion retailer. Some recent successful exits include Westminster Healthcare - UK - €751m, Refresco - Benelux - £461m and Pinewood Shepperton flotation - UK - €75m, Travelex - UK foreign exchange services - £1bn transaction, YBR Group sale - directories business - €1.8bn, Betapharm - Germany - £480m - Pharmaceuticals.