DBG, 3TS acquire Polish clothing stores

DBG Europe and 3TS, two private equity firms focused on investments in central and eastern Europe, have acquired a 75% stake in Polish children’s clothing retailer, Komex.

DBG Europe and 3TS, two central and eastern Europe focused private equity firms, have acquired Komex, a Polish chain of children’s clothing retail stores operating under the brand name 5.10.15.
Jacek Korpala, a partner at DBG Europe, declined to comment on the transaction price but said that the two firms had acquired a combined 75 percent stake in Komex, which had turnover in 2005 of €13 million ($17 million).
DBG Europe invested from its DBG Eastern Europe II fund, which raised €67 million in 2004. Korpala said that the fund is now over one third committed. 3TS invested from the €100 million 3TS Central European Fund II.
The auction for Komex was run by Holon, a Polish boutique, and attracted interest from three other local private equity firms, which Korpala declined to name.
Korpala said that the transaction included a capital increase enabling DBG Europe and 3TS to fund the expansion of Komex’s network of stores, which currently stands at 50. The firms also plan to float Komex in the next three to four years on the Warsaw Stock Exchange.