INVL Baltic Sea Growth Fund signs agreement to acquire the Pehart
Group in Romania
INVL Baltic Sea Growth Fund, the leading private equity fund in
the Baltics, has signed an agreement to acquire shares in Pehart
Group, a leading producer of household and industrial paper
products in Romania and owner of the oldest paper factory in
Romania with a 187-year tradition.
The transaction with Abris Capital Partners is expected to be
completed in the first quarter of 2025, subject to obtaining the
necessary regulatory approvals and fulfilling other conditions
stipulated in the agreement.
The Pehart Group produces toilet paper, paper towels, napkins,
and other hygiene paper products, as well as jumbo rolls, used in
the converting process into paper products for household and
industrial use. Pufina, one of the most popular tissue paper brands
in Romania, Alint, Altessa and SOVIO, the Away-from-Home products
division, are part of the Pehart Group portfolio. In 2023, the
Pehart Group generated revenues of EUR 168 million and employed
nearly 550 people across its companies.
Today, Pehart Group is one of the largest tissue paper producers
in South-East Europe, present with its household and industrial
products in 19 countries. With significant investments in recent
years targeting high-performance production technologies, energy
efficiency, portfolio diversification and consolidation on the
regional market, the company is constantly striving for a lower
carbon footprint and sustainable development.
”In continuing the development strategy of our company, we are
looking forward to this new partnership with INVL Baltic Sea Growth
Fund. Pehart Group, a Romanian brand with a lasting tradition and a
history strongly linked to the beginning of consumer paper
processing in Romania, had a remarkable evolution in the past years
alongside a valued partner on this journey, and for that we thank
Abris Capital Partners. We are ready to leverage the growth
opportunities and enhance our market position together with our new
partner. We will continue to focus on operational excellence,
creating value for consumers and extending our position in the
region. The confidence that INVL Baltic Sea Growth Fund has shown
in our vision and potential is a testament to the value and
performance of our team”, said Gabriel Stanciu, CEO Pehart
Group.
"Partnership has always been central to our philosophy, and
we’re thrilled at the prospect of collaborating with the Pehart
Group’s management team. Upon successful completion of the
transaction, Pehart Group will become the tenth portfolio
investment of the INVL Baltic Sea Growth Fund, marking a
significant milestone in completing the fund’s portfolio. The fund
is committed to implementing strategies that drive operational
excellence, create long-term value for all stakeholders and build
industry leaders in the region. We are excited to support the
management team in strengthening Pehart Group’s market leadership
and driving its next phase of growth”, – said Vytautas Plunksnis,
Partner at INVL Baltic Sea Growth Fund.
”We are most proud of the management team at Pehart and grateful
for their relentless dedication in steering the company through
both challenging times and market opportunities. We are confident
in their ability to continue Pehart’s positive evolution and
consolidate its position as a top player on the regional market.
This milestone marks the end of an excellent partnership and
confirms the success of our strategy to support high-potential
companies in achieving their growth objectives”, said Adrian
Stanculescu, Partner and Head of Romania at Abris Capital
Partners.
Equity for the deal will be provided by the INVL Baltic Sea
Growth Fund and some of its investors co-investing via INVL BSGF
Co-Invest Fund II.
The INVL Baltic Sea Growth Fund, with a size of EUR 165 million,
is a closed-end private equity fund for professional investors. To
date the fund has invested in and developed industry leaders such
as Eco Baltia, InMedica, Eglės Sanatorija and Galinta. As of the
end of 2023, transactions completed by the INVL Baltic Sea Growth
Fund had a net internal rate of return of 26% and a cash-on-cash
multiple of 1.9 times.
INVL Asset Management is now fundraising for INVL Baltic Sea
Growth Fund’s successor fund INVL Private Equity Fund II targeting
the size of EUR 250 million.
About the INVL Baltic Sea Growth Fund
With a size of EUR 165 million, the INVL Baltic Sea Growth Fund
is the leading private equity fund in the Baltics. Its anchor
investor is the European Investment Fund (EIF).
The EIF, which is a part of the European Investment Bank, has
committed EUR 30 million with the support of the European Fund for
Strategic Investments (a key element of the Investment Plan for
Europe, or the Junker Plan) while also allocating resources from
the Baltic Innovation Fund, a “fund of funds” initiative developed
in cooperation with the governments of Lithuania, Latvia and
Estonia. The initiative aims to increase capital investment in
high-growth potential small and medium-sized enterprises in the
Baltics.
The fund focused on investments in the Baltic countries and
neighbouring regions such as Poland, the Nordics, and Central
Europe. The INVL Baltic Sea Growth Fund has already invested in a
diversified portfolio of nine companies. That includes companies
operating in the food processing, healthcare, medical
rehabilitation, civil engineering, plastic recycling, environmental
management, and veterinary services sectors, as well as in the
manufacturing of cosmetics and hygiene products.
The fund is managed by INVL Asset Management, the leading
alternative asset manager in the Baltics and part of the Invalda
INVL group, which has been in the investment management business
for more than 30 years. The group’s companies manage or have under
supervision more than EUR 1.6 billion of assets under management
across multiple asset classes including private equity, forests and
agricultural land, renewable energy, real estate, and private debt.
The group’s activities also include family office services in
Lithuania, Latvia, and Estonia, management of pension funds in
Latvia, and investments in global third-party funds.
About Pehart Group
With a 187-year tradition, the Pehart Group is one of the
largest paper manufacturers in Southeast Europe. The company is
present with its household and industrial products in 19 countries
in Central, Eastern and Southern Europe (Poland, Czech Republic,
Slovakia, Hungary, Croatia, Slovenia, Serbia, Bosnia, Herzegovina,
Montenegro, Bulgaria, Macedonia, Ukraine, Greece, Cyprus, Israel,
Rep. Moldova, Germany, Albania).
Pufina, one of the most popular tissue paper brands, Alint,
Altessa and SOVIO, the AfH products division, are part of the
Pehart Group portfolio. The company also produces jumbo rolls,
giant rolls of paper used in the converting process into paper
products for household and industrial use.
Pehart Grup is defined by continuous evolution, efficiency,
respect for the planet's resources and for the people who build its
story every day. It continuously optimizes its products and
services by creating a sustainable and equitable environment for a
renewable future. Respect for the latest environmental regulations
through the traceability of resources, efficient production and use
of materials, and a safe, pleasant working environment for the team
and partners are Pehart Group values, as is the encouragement of
initiative and entrepreneurship within the company.
About Abris Capital Partners
Abris Capital Partners is a leading independent private equity
fund focusing on mid-market opportunities in Central European
countries. Founded in 2007, Abris' strategy is to partner with the
most dynamic and successful companies in Central Europe that can
benefit from an inflow of capital and/or management expertise at
both strategic and operational levels. With an investment capital
of approximately €1.3 billion, Abris has raised financial backing
from many of the world's leading global investment institutions,
including public and corporate pension funds, financial
institutions, insurance companies and endowment funds from US
universities. Abris has a long-term investment horizon and operates
regional teams in Warsaw and Bucharest.
Contact person for further information:
Vytautas Plunksnis, Head of Private Equity at INVL Asset
Management,
vytautas.plunksnis@invl.com
Grafico Azioni Invalda Invl Ab (LSE:0IJB)
Storico
Da Dic 2024 a Gen 2025
Grafico Azioni Invalda Invl Ab (LSE:0IJB)
Storico
Da Gen 2024 a Gen 2025
