Mobeus amplifies investment 5.5x
Mobeus has fully realised its investment in DiGiCo Global Limited (“DiGiCo”), through a sale to a new professional audio group backed by Electra Partners.
DiGiCo designs and manufactures premium digital audio mixing consoles for live sound, theatre productions and broadcast applications as well as supplying interfacing for post-production and recording studios. Electra Partners’ existing brands, Allen & Heath and Calrec, operate in complementary areas of the professional audio industry.
Mobeus invested £4.6m to support the original management buyout of DiGiCo in 2007 and achieved a partial realisation in December 2011 through a £50m secondary buyout to ISIS Equity Partners. The business has demonstrated strong and consistent growth - turnover has grown three-fold from £8 million in 2007 when Mobeus first invested, to £24 million in 2013.
The investment has returned in excess of £25m in cash over the life of the investment to Mobeus advised Venture Capital Trusts (“Mobeus VCTs”). This return equates to a 5.5x multiple of Mobeus’s original investment, a cash IRR of 45%.
This is Mobeus’s fourth exit so far during 2014 and follows the partial sale of ATG Media to ECI Partners through a secondary buyout and the trade sales of MachineWorks Software Limited and Monsal Holdings. In total, these four investments have returned in excess of £54m in cash to the Mobeus VCTs to date.
Bob Henry, Partner at Mobeus, commented:
“DiGiCo has been a great success, not just as an investment. The management team has created a world-class business with products that sell to at least 90 countries, all engineered in the UK. Mobeus will miss its relationship with an outstanding management team and wishes them every success in the next stage of a highly impressive story.”