Navis Capital generates 3.3x on Golden Foods Siam exit

The realisation of the Thai food company to Brazil’s BRF SA follows the sale of Guardian Early Learning Group to Switzerland-based Partners Group.

Malaysia-headquartered private equity firm Navis Capital Partners has exited its investment in Thailand’s Golden Foods Siam (GFS), generating a 3.3x money return and 24 percent internal rate of return, according to a statement from the firm.

Brazil’s second largest food company BRF SA will acquire Navis’ full stake in the integrated chicken processing company for $360 million.

Navis acquired a controlling interest in GFS in September 2009 through its Navis Asia Fund V, a vintage-2006 vehicle that raised $1.05 billion, which invests in the range of $50-100 million, according to PEI’s Research & Analytics division.

Since its acquisition by Navis, GFS has doubled its cooking capacity, increased primary chicken production by 70 percent, increased breeding capacity by 30 percent and completed a 7,000 tonnes per week state-of-the-art feedmill, which brings in-house 100 percent of the company’s feed requirements, the firm said.

GFS, which employs 8,800 people worldwide, has breeding and processing operations in Thailand and sales offices in the UK and the Netherlands.

The exit follows Navis’ recent announcement of the sale of Australian childcare and early childhood group provider Guardian Early Learning Group to Swiss investment firm Partners Group.

The transaction values Guardian at an enterprise value of approximately A$440 million ($308 million; €282 million), the firm said.

Navis acquired a majority interest in Guardian in September 2013 through Navis Fund VI from Wolseley Private Equity in a transaction that valued the business at approximately A$120 million.

Cyrus Driver, managing director and head of private equity Asia at Partners Group, will join the board of Guardian once the transaction completes in the first quarter of this year.

Navis manages approximately $5 billion in equity capital and has made more than 70 control investments across Asia.