Gimv exits second business in a week

The exits come at a time when the Antwerp-based firm has managed to improve its asset value.

Gimv, a NYSE Euronext Brussels-listed firm, has sold its stake in Human Inference, a Netherlands-based mail solutions provider.

The deal value was undisclosed, but the return is “in line with Gimv’s long-term average”, the firm said in a statement. The sale had a positive impact of €5.2 million, €0.22 per share on Gimv’s equity value as at 30 September 2012.

It was Gimv’s second divestment this week; on Wednesday the firm sold its undisclosed stake in Mentum, a French software provider, after an investment period of 10 years. Details of the transaction were undisclosed.

Both investments were originally made from the firm’s balance sheet, which holds approximately €1 billion, a spokesperson said. Gimv, which re-invests its revenues, allocated a €60 million return for its shareholders this year. The firm gave its investors the option to receive this dividend in cash or in shares. Approximately 60 percent of shareholders opted for new shares, which resulted in a capital increase of €24.6 million. 

With continuing uncertainty about the course of the world economy, the ongoing euro crisis and the potential impact of global budgetary remediation, both corporates and consumers kept the brakes on

Koen Dejonckheere

Between 1 April 2012 and 30 September 2012, the firm’s total divestment revenues were €129.4 million, Gimv reported in its half year results last week. Divestment proceeds were 50.8 percent above equity carrying value at 31 March 2012 and at a multiple of 1.7x original acquisition value. 

In addition, Gimv invested €57.7 million from its balance sheet between 1 April 2012 and 30 September 2012. Gimv’s additional funds invested €26.7 million, bringing the total amount of investments to €84.4 million. The firm has not made any acquisitions or exits with its growth capital fund, Gimv XL, a 2009 vintage, this year. 

Gimv managed to its improve its asset value this year. Last week, it reported net unrealised capital losses of negative €48.8 million, an improvement of the negative €123.8 million it reported this time last year.  

“With continuing uncertainty about the course of the world economy, the ongoing euro crisis and the potential impact of global budgetary remediation, both corporates and consumers kept the brakes on. As well as producing the inevitable nervousness on financial markets, this also negatively impacted the environment for mergers and acquisitions, company results and by extension the valuations of our investments”, Koen Dejonckheere, a managing director said in a statement.