EQT, the Scandinavian private equity firm, has announced that it has appointed advisors for the listing of TAC Group, the building management systems provider. Morgan Stanley and Deutsche Bank have been appointed to advise EQT, whilst Enskilde will act as co-lead advisor.
The listing is scheduled to take place on the Swedish Stock Exchange within 6-18 months, although Thomas von Koch, partner at EQT partners said that market conditions permitting, the listing will take place in October 2002.
The past four years have seen an eight-fold increase in TAC’s earnings whilst orders have quadrupled. TAC, which employs 2,200 people, achieved turnover of just under E300m in 2001.
Von Koch said that the firm was extremely pleased with TAC Group’s progress since the firm was acquired for an undisclosed sum in 1998. “The firm has exceeded our expectations with respect to growth and profitability, making it one of our most successful investments.” It is hoped that the listing of TAC will give the firm access to additional capital to support its continuing global expansion.
The announcement provides further evidence that the IPO market may be re-emerging in Europe following a lengthy period of inactivity. A number of listings have been mooted in recent days, including Permira’s DIY chain Homebase, Center Parks (Deutsche Bank Capital) and UK bookmaker William Hill, owned by CVC Capital Partners and Cinven.