OMERS Private Equity acquires V.Group Limited for US$520 million
OMERS Private Equity, the private equity arm of the OMERS Worldwide group of companies, has signed a definitive agreement to acquire V.Group Ltd. (“V.Group”) from Exponent Private Equity for an enterprise value of US$520 million.
V.Group is the global market leader in outsourced ship management and a leading player in crew provision and related marine services. The company manages the running and maintenance of over 700 vessels on behalf of its customers and provides a variety of related services to these and other third party vessels. V.Group operates across 34 countries via its international network of 70 offices.
“I look forward to partnering with OMERS Private Equity in continuing to build a market-leading company delivering outstanding service and value to our customers,” said Clive Richardson, who will continue to lead V.Group as CEO. “V.Group has a tremendous future and the management team is excited to be working with our new partners in the next chapter of growth for our business.”
“V.Group has an attractive and differentiated outsourcing-based business model and is led by an exceptional management team,” said Mark Redman, Senior Managing Director of OMERS Private Equity in Europe. “We believe V.Group’s extensive global network, track record of profitable growth, compelling customer value proposition and breadth of services provide significant long-term potential. As a global leader operating in robust and growing segments of the market, we believe the future opportunities for V.Group are extremely attractive. We look forward to using our significant financial resources and extensive international network to support management’s strategy for organic and acquisitive growth, particularly in emerging markets.”
The acquisition of V.Group was completed by the London office of OMERS Private Equity, which opened in September 2009 to build a mid-market private equity presence in Europe. In 2009, OMERS Private Equity co-led the investment in UK-based Haymarket Financial, a specialist commercial lender to European mid-market companies.
Financing will be provided by RBC Capital Markets. RBC acted as financial advisor, and Weil, Gotshal & Manges acted as legal counsel for the buyers. V. Group was advised by Lazard as well as by Allen & Overy, PricewaterhouseCoopers, Deloitte and BCG.
Estin & Co provided strategic due diligence on the deal with a team led by Marco Maeder. Estin & Co purely focuses on strategy consulting and has offices in Paris, London, Geneva and Shanghai.
Due Diligence Adviser:
Vice President Marco Maeder commented:
“For the V.Group deal we drew on our particular expertise in the marine and offshore Oil & Gas
sectors to assist OMERS in a strategic audit of the company. Based on our experience both in marine and O&G sectors, through in-depth modeling of outsourcing economics and high level interviews we were able to give perspectives on the future dynamics and a vision of V Group’s growth potential within this fast-moving industry."