Bridgepoint exits Lloyd Werft

The UK private equity house has sold its interest in the German ship repair and conversion company to management for an undisclosed price.

Bridgepoint Capital has sold its 70 per cent stake in German ship maintenance business Lloyd Werft to management, marking the firm’s second German transaction in the last six months.

Bridgepoint backed management for the original buyout of Lloyd Werft in 1998 in a deal valued at E31m, of which Bridgepoint provided around E10m. The financial details of the latest transaction, including any multiple or IRR on the sale, have not been disclosed. Lloyd Werft management is financing the deal entirely with debt, which is being provided by KfW and Bremer Aufbaubank.

Lloyd Werft was founded in 1862 in Bremerhaven in Germany, and since 1984 was part of Bremer Vulkan Verbund which went bankrupt in 1996. The firm itself went into receivership in 1997. Following Bridgepoint’s investment in 1998, the company has been active in repair, conversion, and completion of mainly cruise ships. Lloyd Werft currently employs 570 people and has an annual turnover of E400m. Reports of a sale of the business first emerged in late 2001.

Last year, Bridgepoint, which has around E4bn under management, exited 18 businesses and returned E500m to its investors.  Earlier this month Bridgepoint sold Huurre Group, the Finland-based European refrigeration company, to Kaupthing Bank and the Huurre management team.