Wednesday 10th July 2013

Total Capital Partners makes 2.3x on sale of Steni

Total Capital Partners has exited its investment in Steni AS to Accent Equity Partners in a secondary buyout.

Steni is a leading manufacturer of high-quality exterior and interior facade panels. The panels are made from glass fibre reinforced polymer composite and the end products are both highly durable and aesthetically attractive. Panels are manufactured at Steni’s state of the art production facilities in Norway and sold  via sales offices in Norway, Sweden, Finland, Denmark, the UK and the Netherlands, as well as distributors elsewhere in Europe, the USA and Canada.

The business has delivered impressive growth with revenues increasing from NOK 160m in 2006, when the Total Capital Partners team backed the original MBO, to NOK 277m in 2012. Earnings have more than doubled over the period.

Erlendur Magnusson of Total Capital Partners commented, “Tom Rønning and his team have done a great job successfully steering Steni through a turbulent economic period. We are delighted with the performance of this investment and we believe Steni is now well positioned to continue its growth with its new partners, Accent.”

This is the third exit for Total Capital Partners since its inception in 2008, and continues to demonstrate the success of the business’s differentiated approach to funding SMEs.

Total Capital Partners provides single source financing for SMEs.   By providing all of the debt and equity required in an investment, this removes any reliance on third-party bank finance, and furthermore, it reduces complexity in the deal process and in the ongoing investment period. The Total Capital approach offers enhanced flexibility and the financing is tailored to the specific needs of each business.

Total Capital’s approach delivers an attractive blend of returns to its investors comprising cash yield, contractual return and equity upside. In addition, the security in the structure and the swift return of capital makes for a highly attractive alternative to the typical leveraged model for investors.