HgCapital, a European sector-focused private equity manager, has completed the public-to-private acquisition of SHL Group, a psychometric objective testing products and services provider.
Hg’s offer valued the business at £100 million (€148 million), and was a premium of 32.7 percent to the average closing price of 135.6 pence since 12 May 2006, when SHL announced that profits for the year to 31 December 2006 would be lower than market expectations.
This is the first deal completed by HgCapital’s business services sector team launched in April 2006.
Robin Lincoln, head of business services at HgCapital, said: “We believe that talent management will be a defining business issue over the next decade and the use of objective testing such as psychometrics has a powerful role to play in this.”
He said in taking the company private, Hg paid shareholders a good price for a good business and it has the appetite to invest heavily in the next phase of the business’s development.
HgCapital is was founded in 2000 as the successor to Mercury Private Equity. It has funds under management of €2.5 billion. The group specializes in mid-market investments ranging from £50-350 million and has offices in London, Frankfurt and Amsterdam.