London-headquartered mid-market private equity firm
The €750m transaction is subject to regulatory clearances but is expected to close before the end of the third quarter of 2008. The original investment was made in 2004 and is expected to result in an IRR of 55%.
Based in Amsterdam, TMF is an outsourcing company, providing back-office services for companies across the world. With 78 offices in 61 countries, it employs over 2,500 people to offer administration functions that include domiciliation, bookkeeping and payroll, structured finance and fund administration services, corporate secretarial, VAT registration and recovery services and shareholder services to an international client base.
Managing partner of Silverfleet and former board member of TMF, Neil MacDougall, said: “During the period of Silverfleet’s involvement with the business, management has been able to achieve a large part of their buy and build strategy and as a result TMF has become the pre-eminent global business in its field. Since 2004, TMF has been a prolific acquirer having made over 50 follow-on acquisitions.”
The imminent sale of TMF is the second exit Silverfleet has made in 2008, the first coming in June with the divestment of Jost, a German manufacturer of commercial vehicles components, to Cinven for a reported €525m.
It is the firm’s second exit since it spun-out from Prudential in November 2007.