Exit: Perusa Fund sells Xindao to Gilde Buy-Out
Guernsey/ Munich/ Amsterdam/ Rijswijk — The investment fund Perusa Partners Fund 2, L.P. (“Perusa”), advised by the independent Perusa GmbH, has sold Xindao International GmbH and its subsidiaries (“Xindao”) to Gilde Buy-Out Fund V (“Gilde”). The parties have agreed not to disclose the purchase price or the details of the transaction.
Perusa acquired Xindao Holding BV from its founders in August 2017. Founded in 1986, Xindao is a leading supplier of high-quality functional promotional products to more than 4,500 B2B and B2C retailers throughout Europe and the world. The company has an excellent reputation as a premium supplier that generates a large part of its sales with self-designed branded products. In addition to its headquarters in Rijswijk, the Netherlands, Xindao operates its own printing and logistics center in Romania and a design studio and procurement center in Shanghai. The company sells its products through a network of its own sales companies in Germany, France, the Netherlands, Spain, Sweden, the UK, China and the USA, as well as through exclusive representatives in Russia and Italy.
Successful transformation to a management-led company
Xindao has a history of double-digit annual growth. As a result, the company has more than tripled its sales in the last ten years. Under Perusa’s ownership, Xindao completed its transformation into a company led by independent management, expanded its international reach through the acquisitions of Xindao UK and Xindao Spain, and established XD Design as an emerging luggage and backpack brand in global retail.
“Under Perusa, we have succeeded in further strengthening our position as one of the largest suppliers in the promotional products industry in Europe. We have worked extremely successfully with Perusa. This is a good example of how a private equity firm and a formerly owner-managed company can work together to drive the growth of a business,” said Albert van der Veen, CEO of Xindao Group.
“The company has succeeded in continuing to follow an excellent economic path during the transition from an owner-managed to a management-managed company , ” sums up Dr. Hanno Schmidt-Gothan, Managing Director of the consulting Perusa GmbH. “Xindao demonstrates the importance of a strong management team for the company’s development, which has established highly efficient structures and processes as well as an excellent working environment,” adds Raphael Weller, Investment Director of the advising Perusa GmbH.
Perusa is an independent equity investment company that currently invests 350 million euros of equity in medium-sized companies and group businesses from German-speaking or Scandinavian countries via two funds. Perusa takes a highly operational approach to strengthening performance and thus leveraging the long-term value creation potential of its portfolio companies. Furthermore, strategic acquisitions (buy-and-build strategy) are targeted to strengthen the growth of the portfolio companies. The funds are advised by Perusa GmbH.