Our investments

Background

In April 2014, Funds advised by Motion Equity Partners arranged a majority buy-out of Cellular Line, a fast-growing designer and distributor of mobile and tablet accessories, investing alongside L Capital.

In 2018, Funds advised by Motion Equity Partners completed the sale of Cellular Line to Crescita Spac, an entity listed on the Milan stock exchange.

Business

Cellular Line was one of the first mobile phone distributors in Italy. The company has expanded to include mobile accessories and eventually abandoned the mobile phone segment.

Cellular Line is today a leading European player in a fast-growing industry:

• Number 1 in Italy
• Over 2000 clients including Fnac and Carrefour
• 5 proprietary brands including Cellular Line (smartphones and tablets) and Interphone (motorcycle helmet accessories and miniature all-weather camera)
• Products distributed in 60 countries including Italy, France, Spain and Switzerland
• A market growing by over 50% per year

Motion Equity Partners’ value added

During the investment period, Funds advised by Motion Equity Partners have assisted the Group in:

• Strengthening its presence in existing channels, while significantly expanding into new ones (e.g. sport, book, drug and games stores)
• Accelerating its international presence
• Increasing innovation pace, placing constant and successful emphasis on continuous marketing innovation.

Background

Funds advised by Motion Equity Partners acquired Arcaplanet, a leading Italian specialist retailer of pet food and accessories, in December 2010.

Arcaplanet, which had been identified early on as an outstanding opportunity by the deal team, was acquired following a limited auction process organized by the seller, Credem PE, a Milan-based VC firm. The latter maintained a minority stake in the Group, together with the management team.

In May 2016, Funds advised by Motion completed the sale of Arcaplanet to Permira Funds.

Business

Arcaplanet group, headquartered in Genoa, has c. 800 employees and operates 150 stores, each averaging some 600 square meters in size, located in the north and center of Italy. The Group differentiates itself through its innovative format, with a vast range of 10,000 products from pet food to accessories, at competitive prices. Stores formats range from retail park, to stand alone and in-town. Some stores have been also opened inside shopping centers.

Over the years the Group has embarked on several projects to expand sales channels (launch of its online store), strengthen the Arcaplanet brand (launch of a TV advertising campaign, the first Italian pet retail chain to do so) and increase its product offering (launch of its private label).

In 2015, Arcaplanet accounted for almost 1/5 of the whole Italian market growth.

Motion’s value added

The strong performance of the Group was achieved thanks to the implementation of an ambitious growth strategy and margin improvement initiatives. With Motion Equity Partners’ guidance, the Group has:

• Increased the size of the chain through the opening of more than 100 stores. Network expansion has been wholly self-financed by Group cash-flows
• Delivered first-in-class LFL performances, driven both by legacy stores and by new openings, which reported consistently positive results
• Expanded into e-commerce with the launch of its own e-shop
• Developed its private label, which experienced a significant growth and had a positive effect on profitability
• Significantly improved margins
• Strengthened its brand by launching a national TV advertising campaign which gave a significant boost to sales
• Improved working capital (specific focus on inventory) management, with positive effects on cash-flow generation
• Reinforced the Management team to support the increasing size and complexity of the business.

Background

Funds advised by Motion acquired Morrison Utility Services from Anglian Water Group plc in March 2008 for £135m, together with Bregal Capital and the Management team.

In 2016, Funds advised by Motion Equity Partners completed the sale of Morrison Utility Services to First Reserve.

Business

Morrison Utility Services, which is headquartered in Stevenage (United Kingdom), manages infrastructure maintenance, installation and specialist services for a broad range of utility companies under long-term contracts. The services provided by Morrison include installing, maintaining and replacing piping and cabling networks on behalf of water, gas, telephone, electricity and rail companies throughout the UK.

Morrison supplies the labour and equipment hire required, as well as managing the relationship with the local authorities.

With turnover of approximately £600m, Morrison has some 4,000 employees and is proud never to have lost a client from its broadly diversified customer base which accounts for contracts worth in excess of £2.0bn.

Motion Equity Partners’ value added

During the investment period, with significant Motion Equity Partners support, the Group has:

• Significantly increased its size and industry footprint: from £495m turnover and a £1.3bn order book in 2009, the company has now exceeded the £600m turnover mark, with a £2.0bn order book
• Significantly improved its margins, which now stand at sector highest, through cost-saving initiatives and operational improvements
• Improved working capital (specific focus on key contracts and intra-month swings) management, with positive effects on cash-flow generation
• Strengthened its top Management team.

Background

Since December 2005, Funds advised by Motion Equity Partners have supported the development of Tokheim, the European leader in the production and service of petrol distribution systems.

Business

Tokheim designs and assembles both fuel dispensers and associated systems including payment terminals, POS, back-office systems and offers maintenance and value-added services to operators.

Present in 100+ countries in EMEA, China, India, APAC and Latam, the Group had direct operations in 33 of them.

Operated 4 assembly plants: its historical factory in Scotland and 3 others opened under our ownership in China, India and Brazil.

Motion Equity Partners’ value added

During the investment period, Tokheim has been successful in building up a strong market position worldwide:

• Increasing the size of the Group through greenfield development and external growth. Under Motion Equity Partners’ ownership, Tokheim made more than 20 add-ons and its sales have doubled
• Drove greenfield development in emerging markets such as Asia, India and Latin America to re-balance Tokheim’s geographical footprint toward fast-growing markets
• Successful investment in value-added services with 2 sizeable add-ons (Fairbanks & Start Italia).

Background

Funds advised by Motion Equity Partners acquired the international operations of FullSIX Spa, an Italian group listed on the Milan stock exchange, alongside the existing management team in August 2008.

FullSIX was a unique independent European player with impressive client base, positioned on a very dynamic market as the marketing industry is undergoing a major shift from traditional media (TV, papers, radio) towards interactive and relationship channels (web, mobile). Motion Equity Partners saw a great opportunity to back an ambitious management team and grow the agency into a lasting international group.

The Group was acquired by Havas Media Group in October 2015. The merger should benefit both Havas and FullSIX as their experience and skills are very complementary. FullSIX will bring to Havas its unrivalled expertise in digital communication and marketing, and will in return benefit from Havas’ longstanding relationships with blue-chip customers.

Business

FullSIX Group is a European digital communication and marketing consultancy Group founded in 1998 and based in Paris. The Group operates in France, Spain, Portugal, the United Kingdom, Italy and the USA. Led by Founder & CEO Marco Tinelli, the Group employs over 600 people. It built a unique proposition covering the full range of Data, Digital, Communications and Media expertise:

• Relationship, digital and e-commerce (FullSIX)
• Analytics, data mining & insights (FullSIX Data)
• Mobile experience (FullSIX Air)
• Brand and advertising (FullSIX Advertising)
• Strategy and media buying (FullSIX Media)
• SEO & SEM (FullSIX Search)
• Traffic generation, ROPO (Research Online Purchase Offline) and in store experience (FullSIX Retail)

Motion Equity Partners’ value added

During the investment period, FullSIX has succeeded in growing into a robust growth platform by:

• Widening its scope of competencies, either through external growth (Novalem, Netsonda) or internal development (FullSIX Data, FullSIX Air)
• Successfully expanding the Group’s international reach with the opening of agencies in Spain and the US and the acquisition of Grand Union in the UK
• Rationalising its processes, especially production processes, to allow the Group to face its growth-related issues. FullSIX grew from a small innovating agency to an established, recognised and lasting group
• Consolidating the Top Management and financial reporting.

Background

Funds advised by Motion had initially made the acquisition of Diana Ingredients in 2004 from BNP Paribas for an EV of €270m.

The asset was sold in 2007 for an EV of €710m to the French private equity firm Ardian (ex-AXA Private Equity).

Between 2004 and 2007, Funds advised by Motion had successfully helped Diana develop. The strategy implemented consisted in accelerating the development of its Pet Food division as well as the acquaculture segment, reinforcing Diana Food’s growth thanks to significant build-ups and developing Diana Nova through organic and external growth.

Leveraging its success and its knowledge of the market, and convinced that the company had still a significant growth potential, it was decided to reinvest in the business alongside Ardian and thereby renew their commitment to the Management team.

Business

Diana, headquartered in Vannes (France) is the world leader in natural functional solutions for the food, pet food, nutraceuticals, aquaculture and cosmetics industries, and technology leader in plant cell culture, dedicated to the production of active ingredients for food, cosmetics and health. The Group is organized in three independent divisions:

• Diana Pet Food is the leading worldwide producer of palatability enhancers for the pet food industry
• Diana Nova is composed of new activities with high growth potential, such as aquaculture and plant cell culture
• The Food division develops organoleptic and nutritional features to enhance the benefit of its customers from the food industry

With 32 production sites across 23 countries in Europe, North America, South America, Asia, Middle-East and Australia, Diana employs more than 2,000 people worldwide and has posted continuous highly profitable growth for 15 years.

Motion Equity Partners’ value added

During the investment period, the strategy implemented by the Funds advised by Motion has been to pursue Diana’s internationalization to:

• Increase the firm’s exposure to fast-developing countries
• Further secure the sourcing of raw materials, an essential component of the Group’s success
• Enter or reinforce existing positions on new promising markets such as aquaculture and plant cells culture
• Follow its blue chip customers in new markets
• Re-balance the Food division vs. the Pet Food division

This expansion strategy materialized  in both greenfield developments, with the creation of new production sites in the US, Canada, Latin America, Russia, South Africa and Thailand, and external growth with no less than 6 successful acquisitions since our initial investment, including Confoco in Ecuador and Pacific Pure Aid in the US.

Context

In March 2006, Funds advised by Motion Equity Partners acquired ixetic (former LuK Fahrzeug-Hydraulik), the European leader in the production of high-performance hydraulic pumps and innovative air conditioning CO² compressors for premium car manufacturers, for €238m.

In 2012, Funds advised by Motion Equity Partners completed the sale of the Group to Magna International Inc., one of the foremost auto parts manufacturers in the world.

Business

ixetic, with its headquarters in Bad Homburg (Germany), mainly focuses on the premium segment of the automotive market, with customers including Daimler, BMW, Audi/Volkswagen, Land Rover and Toyota as well as the LUK/Schaeffler group. ixetic operates two manufacturing facilities in Germany, and one in each of Bulgaria and China. Full year 2011 total sales of ixetic amounted to €300m.

The Group’s product line includes pumps for the assisted steering of commercial and personal vehicles, brake pumps, frame pumps for active suspension systems, hydraulic pumps for variable transmissions or other types of innovative transmissions.

Motion Equity Partners’ value added

During the investment period, ixetic has been successful in building up a strong market position worldwide, overcoming an adverse economic environment through:

• Enlarging its blue-chip customer base
• Implementing of a sustainable strategy allowing ixetic to navigate successfully through the 2008-2010 downturn, with stable double digit margins
• Strengthening the R&D department allowing ixetic to be well positioned to lead automotive trends
• Setting up of a new low-cost production facility in Bulgaria
• Opening an assembly line facility in China with outstanding growth potential
• Focusing on high level employees satisfaction and strong employer recognition in the industry.

Context

In February 2004, Funds advised by Motion Equity Partners invested €71.9m in the €203m management buy-out of aluminium conservatory and window systems supplier Aliplast. The business was acquired from the company’s founder, Peter Blijweert, his brother, the CEO and two minority institutional shareholders. Peter Blijweert reinvested for a 15% shareholding. The CEO made a significant commitment by rolling over all of his existing stake and by investing additional funds.

Funds advised by Motion Equity Partners completed the sale of Aliplast for €430m to its Management team.

Business

Johan Verstrepen led Aliplast’s management team with Oswald Anne as Financial Director. We introduced Jean Beeckman as Operating Partner with useful in-depth experience of the building products sector through his time with Etex.

Aliplast is a supplier of aluminium systems for use in conservatories, windows and doors. Its strategy is built around vertical integration with design, extrusion, painting and thermal insulation of aluminium profiles on the same site. At acquisition, Aliplast was headquartered in Belgium and its core countries of operation were Benelux, France and the UK with more recent expansions into Poland, La Réunion and China. The business had reached the point where the scale and international spread were reaching the limit of the founder’s capabilities.

Motion Equity Partners’ value added

During the investment period, focus was put on:

• Disposing of four non-core businesses
• Migrating the international operations from a high degree of autonomy to a consolidated group approach with an emphasis on sharing innovation and best practice, and treating manufacturing as a group resource
• Introducing significant improvements to reporting systems and controls
• Introducing a culture and focus on cashflow

Organic sales have also grown strongly during the three years since Funds advised by Motion Equity Partners invested, rising from €158m in 2003 to an estimated €223m in 2006.

Context

Gardiner was acquired from Rexel, who wished to reduce their debt. A planned auction process was pre-empted, resulting in a proprietary deal. Funds advised by Motion Equity Partners invested €41m for a fully diluted stake of 79%.

In 2006, Funds advised by Motion Equity Partners completed the sale of the Group to Honeywell for €150m.

Business

Gardiner is Europe’s largest independent distributor of electronic security products. The company sells an extensive product portfolio (7,500 products) to over 12,000 active customers, who are principally specialist installers. Gardiner’s added value is mainly in offering a full range of specialized products, advice and technical support and logistics (96% of the customers are delivered under 24 hours). Main product lines are intruder alarm (53% of sales), closed circuit TV (29%), access control (9%), fire (6%). The company is present in ten countries in Europe.

Motion Equity Partners’ value added

During the investment period, the emphasis has been on improving the business profile of the company. The focus has been on:

• Strengthening the management team
• Integration of country operations
• Expansion through opening new sales offices
• Further development and cross selling of the product range
• Enhanced cash flow management and reporting.