Investment Intelligence provides up-to-date private equity information and news designed for entrepreneurs, private equity investors and corporate acquirors interested in Central & Eastern Europe.

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Daimler, EBRD Team Up for Acquisition of KAMAZ Shares

Daimler AG recently announced it has begun the process to strengthen its position and role KAMAZ, the Russian truck and bus manufacturer in which it already owns a 10% interest. Daimler has teamed up with the EBRD and signed a memorandum of understanding to purchase a 5% stake currently owned by Troika Dialog. Under terms of the proposal, the deal would be completed as two transactions; Daimler would acquire 1% with the EBRD getting the remaining 4%.

bmp Media Investors to Sell Stake in Nokaut.pl

Berlin-based bmp Media Investors has reached an agreement allowing it to fully exit Nokaut.pl, the e-commerce platform which has been part of the bmp portfolio since early 2006. The firm will sell its 34.26% stake to TFI Investors' LBO fund for a price of PLN 5.4 million. The deal is contingent upon the conditions of precedent, including due diligence and the approval of shareholders from both companies. Completion is expected by the end of February.

adverServe Buy-out Marks 15th Successful Exit by 3TS Capital

After three years as majority shareholder in Austrian internet company adverServe Digital Advertising Services, CEE private equity firm 3TS Capital Partners has exited the portfolio company via a sale to founder Boris Schärf. Mr. Schärf completed the buy-out with financial support from an undisclosed Austrian bank.

CRG Capital Sells Wosana Stake, Completes Exit

Austrian asset and investment management firm CRG Capital has reached a deal with Wosana S.A. majority owner, Mr. Pawel Lyson, enabling it to fully exit from the Polish beverage producer after three years of involvement. The firm agreed to sell the 41.8% stake to Lyson in early December despite looking at bids from several other unidentified investors.

Penta Considering Possible IPO for Fortuna Betting Chain

Penta Investments may be considering an IPO in the near future for portfolio company Fortuna, Central Europe's largest betting chain operation. Penta, which owns 100% of Fortuna, considers an IPO to be one of the options available to further develop Fortuna and strengthen its position in the region. The company believes it could raise as much as €100 million on the Warsaw and Prague stock exchanges.

Slavia Capital Sells Czech Sport Aircraft to Piper

American-based Piper Aircraft recently announced plans to enter the market for light sport aircraft after reaching a deal with Slavia Capital to purchase Czech Sport Aircraft. The deal allows Piper it to produce the popular SportCruiser model for distribution worldwide. Though neither party has officially commented on the deal, estimates place the purchase price near USD 30 million.

Metalloinvest Considering 2010 IPO

Russia's Metalloinvest has spoken with bankers about a possible 2010 initial public offering (IPO), though a specific target date and price have not been settled on. It's believed the Russian iron ore producer will eventually sell company shares publicly as it tries shore up and refinance more than USD 5.4 billion in debt. Metalloinvest first planned an IPO in 2008 but had to cancel those plans due to the financial crisis and waning investor enthusiasm.

Megatech to Acquire Plastkov Group from Benson Oak

Benson Oak Capital recently announced a deal to exit Plastkov through the sale of its automotive holdings to Megatech. The sale, whose price is not known, includes three portfolio companies in the automotive injection molding business: Plastkov MR a.s., Plastkov Automotive s.r.o., and BTV Plast s.r.o.

Amdocs Acquires jNetX From Mint Capital

Russia's Mint Capital has completed divestiture from American telecom software developer, jNetX, following an October 2009 announcement that it had put the company up for sale. After initially investing USD 2 million in jNetX in 2002 and adding several million more since, Mint sold the company to U.S.-based Amdocs for USD 50 million, free of debt and cash.

ABC Data Submits Prospectus for Eventual WSE IPO

Making good on a planned IPO announcement from parent company MCI Management last fall, ABC Data has begun in earnest the process which will see it listed on the Warsaw Stock Exchange (WSE). The Polish IT company has tendered an issue prospectus to their government's Financial Supervisory Commission and hope to be ready for listing by mid-2010. MCI Management, which will retain control of ABC Data after the IPO, estimates the offering could be worth between PLN 50-100 million, utilizing both institutional and individual investors.

Russia's Human Stem Cell Institute Announces Successful IPO

Following a September 2009 announcement regarding plans for an initial public offering, Russia's Human Stem Cell Institute (HSCI) has become the first Russian company to hold an IPO in over a year. The USD 4.6 million offering was made via the MICEX Stock Exchange, in the Innovation and Growth Companies sector. 15 million shares were sold to investors at USD 0.32 (RU 9.5) per share.

CapMan's Inflight Services Stake Going to Triton

CapMan, the Nordic alternative asset firm based in Helsinki, has reached a deal enabling it to fully divest from Inflight Service Intressenter AB. CapMan's 67% stake in the Swedish travel service company will be sold to Triton for an undisclosed amount. CapMan acquired Inflight Service in 2005 and with the divestiture, is very pleased with the return provided to fund investors. Funds involved in the exit include CapMan Equity VII, CapMan Mezzanine IV, and Finnmezzanine III A and B funds.

Fomer F1 Champion Niki Lauda Sells LaudaMotion to Partner

Austrian car rental company LaudaMotion has said goodbye to its namesake, former F1 champion Niki Lauda, after the majority owner decided to sell his stake in the company. The 51% share was acquired by Lauda'a partner, Stefan Miklauz, under an amicable agreement reached earlier this year.

Possibility of AVG IPO Raised by Enterprise Investors

Late last week Polish investment firm Enterprise Investors raised the possibility that AVG, the Czech security software firm in which EI is the largest shareholder, could be listed on the Warsaw bourse next year. Citing AVG's importance to the CEE region, EI's Dariusz Pronczuk indicated the firm's desire to have the company listed on a local stock exchange. Should the plans come to fruition, AVG could possibly be the largest IT Company on the Warsaw Stock Exchange while also being listed on either the New York or London Stock Exchange.

AlloCiné Acquires Kinopoisk.ru Stake From Digital Sky Technologies

Russian internet investor Digital Sky Technologies (DST) has agreed to a deal enabling it to completely divest itself from Russia's Kinopoisk.ru web portal. DST has agreed to sell its 40% share the popular movie information site to French internet concern, AlloCiné. The remaining 60% will remain with Kinopoisk's founders, Vitaly Tatsiy and Dimitri Sukhanov. Though the price of the acquisition has not been disclosed, industry experts estimate it could be as much as ca. $2 million.

ArcelorMittal Group Acquires PPF Stake, Will Attempt Minority Force-Out

PPF Group has announced an agreement to sell its 13.8% stake in ArcelorMittal Ostrava (AMO) for CZK 6.8 billion. The PPF stake in the Czech steel producer will go to AMO's parent company, ArcelorMittal Group, increasing ArcelorMittal’s ownership to just over 96%. The acquisition will allow ArcelorMittal to force out minority shareholders despite their opposition, a move supported by PPF. Minority shareholders attempted to thwart the squeeze-out with a criminal complaint in early summer but were unsuccessful. They maintain their position and are ready to go to court if necessary.

RosEvroGroup Exits NLC One Year Ahead of Schedule

Finnish logistics company Intella Group has acquired a minority share of Russia's National Logistic Company (NLC) from RosEvroGroup. Intella purchased 80% of NLC last year with RosEvro planning to retain a 10% stake through the end of 2010. However, in order to settle the structure of Intella-NLC, the company persuaded RosEvro to exit a year earlier. Intella paid €22 million for the stake and may pay additional amounts according to NLC's performance in coming years. For now Citi Venture Capital retains the remaining 10% of NLC as per the original 2008 transaction.

MCE Group Sold to Bilfinger Berger AG

German private equity firm Deutsche Beteiligungs AG (DBAG) has divested itself from Austria's MCE Group through a sale of its stake to Bilfinger Berger AG. Upon approval of government regulators, Bilfinger Berger will pay € 350 million for MCE through a capital increase, exceeding Deutsche Beteiligungs' valuation of the company by as much as €15 million.

Horizon Capital Completes Full Exit From Natur Bravo

Citing a very successful investment over the last several years, Eastern European private equity firm Horizon Capital has exited Natur Bravo, selling its controlling stake to a group of private investors. The sale of the stake, which was owned by Horizon's Emerging Europe Growth Fund LP, marks the second exit for the fund since its 2007 close.

Genesis Energy Increases Share Capital by €2.48 Million

In preparation for the company's sale to Cogenco International, Hungarian green energy producer Genesis Energy has increased its share capital by €2.48 million through a private placement underwritten by Genesis Capital Management. The increase was a pre-condition of Genesis Energy's purchase by the American co-generation company based in Denver, Colorado. Once the sale is complete Genesis Energy is expected to replace its entire board, request the resignation of CEO Gábor Rényi, and reduce the management staff.