LONDON (Alliance News) - Electra Partners LLP on Friday said Electra Private Equity PLC, the FTSE 250 investment trust it manages, will receive GBP22 million after agreeing the sale of its stake in Kalle, the manufacturer of artificial sausage casings and sponge cloths, to Clayton Dubilier & Rice LLC.
Together with proceeds from the refinancing of Kalle in 2013, Electra's total proceeds from the investment will be GBP27 million, equating to a return of 3.0 times original cost, an internal rate of return of 21%.
Wiesbaden, Germany-headquartered Kalle was acquired by Silverfleet Capital in September 2009 for EUR213 million. In March 2010, Silverfleet syndicated part of its investment with Electra investing GBP9 million in the business.
"This is another excellent example of Electra Partners' flexible investment strategy at work. Our ability to co-invest alongside another private equity firm allowed us to support Kalle's international growth strategy," Charles Elkington, partner at Electra Partners, said in a statement.
Shares in Electra Private Equity were down 0.3% at 3,570.00 pence Friday morning.
By Samuel Agini; samagini@alliancenews.com; @samuelagini
Copyright 2016 Alliance News Limited. All Rights Reserved.