Baird Capital Partners Europe has opened the door to a 2.7x return multiple with the sale of door locks company Paddock Holdings to strategic buyer ASSA ABLOY.
“We’ve taken an old fashioned manufacturer, [purchasing it] a year before the recession hit that industry, and turned it into the No. 1 in its sector, enough to catch the interest of the [industry’s] No. 1 on the globe,” James Benfield, director at Baird Capital Partners Europe, told PEO.
We have a level of resource globally that we can bring to bear on our portfolio companies that really makes a difference.
“It’s a good [exit] for us because it’s evidencing what we’ve been telling the market and the LPs for a while, which is we have a level of resource globally that we can bring to bear on our portfolio companies that really makes a difference,” Benfield said.
While owned by BCPE, Paddock developed operations into Europe, the US and Asia. Operating partner David Fraser advised on the portfolio company, which replaced its sales, technical and finance directors. It marked the 9th chairmanship of a BCPE portfolio company for longtime operating partner Fraser.
“Baird has been a fantastic partner for us over the past years,” Nigel Hutchinson, Paddock chief executive, said in a statement. “They have been highly supportive of our growth strategy in a tough market and provided real help and significant operational expertise through their international network.”
Led by Simon Havers, Baird Capital Partners Europe is the UK private equity arm of Baird Private Equity, which is a subsidiary of US financial services firm RW Baird & Co.