Heliad Equity Partners GmbH & Co. KGaA: Portfolio company CfC Industriebeteiligungen was successfully taken public on Frankfurt Stock Exchange


Heliad Equity Partners GmbH & Co. KGaA / Miscellaneous/Miscellaneous


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CfC Industriebeteiligungen, a portfolio company of Heliad Equity Partners, announced its successful debut at the Open Market of the Frankfurt Stock Exchange.

As an industrial holding company, CfC acquires majority ownership of companies that are in a restructuring phase and which will see significant growth on the basis of a tough new leadership as well as operational and strategic improvements. The deal flow of CfC typically includes transactions with an equity investment of up to EUR 5 million, though companies can occasionally be acquired without any equity investment at all. The minimisation of risk plays as important a role as long-term growth in the structuring of transactions: In principle, the company finances situations in which at least part of the money invested can be removed from risk a comparatively short time after the investment is made.
With its 70% stake in the SME Berndes, CfC has already concluded its first successful transaction. Berndes develops, produces and distributes cookware and has about 150 employees in Asia, Europe and North America. The company, which has annual sales of around EUR 40 million, became profitable again this year and is showing strong growth with a significantly firmer equity capital basis after numerous restructuring measures were successfully implemented.

Significant hidden reserves have been revealed at Heliad as a result of the IPO. Based on the current market price, the unrealised profit is more than EUR 5 million. This has yet to be fully reflected in Heliad’s Net Asset Value (NAV). On the basis of current share price at the next valuation date, this would result in an increase of around 5 cents in the NAV. Due to the major appreciation potential in the 'Restructuring and Turnaround Investments' division, CfC is expected to continue to occupy a core position in the Heliad portfolio well into the future following the IPO.
As a result of the successful IPO of CfC, Heliad looks set to comfortably exceed the significantly increased forecasts for earnings after taxes (EUR 7.2 million) and earnings per share (EUR 0.10) for 2006 issued recently in September. Management is also optimistic about developments in 2007. The deal pipeline is well stocked both in respect of new investments and potential exits, meaning that – assuming a continued stable commercial environment – management expects to generate a further significant increase in long-term earnings power, and at least match or even surpass the good result from the current year.

+++ About Heliad
Heliad Equity Partners (WKN: 604 729) is a private equity firm that concentrates mainly on companies in the German-speaking countries. Investments are made in companies that are in a strong expansion period or a special situation. The aim is to produce an above-average risk/return ratio for the shareholders. The investor thus intensively participates with Heliad in the expansion opportunities not only of the traditional German middle class but also of aspiring German technological companies.

Contact:
Heliad Equity Partners GmbH & Co. KGaA 
Christiane Kriesche
Leiterin Marketing & Kommunikation
Grüneburgweg 18
60322 Frankfurt

Tel.: +49(0)69 719 15 965 17
Fax: +49(0)69 719 15 965 17
E-Mail: christiane.kriesche@sigma-capital.de


DGAP 14.12.2006 

 
Language:     English
Issuer: Heliad Equity Partners GmbH & Co. KGaA               Grüneburgweg 18
              60322 Frankfurt am Main Deutschland
Phone:        +49 (0)69 719 15 965 0
Fax:          +49(0)69 719 15 965 11
E-mail: christiane.kriesche@sigma-capital.de WWW:          www.heliad.de
ISIN:         DE0006047293
WKN:          604729
Indices:      
Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin-Bremen, München, Stuttgart  
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