Advent International is selling its majority stake in Moeller Group, a supplier of low-voltage electrical distribution and automation components for industrial, commercial and residential use, to Doughty Hanson for €1.1bn including pension liabilities and financial debt.
Doughty Hanson will be investing €192m. Moeller’s management will retain a minority stake in Moeller and Advent will consider reinvesting a portion of its sale proceeds following the close of the transaction. Mizuho and Morgan Stanley are underwriting an acquisition debt facility of around €650m.
Advent invested in the business in December 2003. The value of the transaction was undisclosed.
Moeller is headquartered in Bonn and generated sales of €760m in its core business in the financial year to April 30, 2005.
The acquisition is Doughty Hanson’s fifth acquisition from its latest private equity fund, Doughty Hanson & Co IV. Including this transaction, Doughty Hanson will have invested a total of €617m of equity in Fund IV portfolio companies.