Multicomm takes over Intertrading and becomes an important European trader in the field of mirror and photo frames
LRM, PMV and the management are investing 6,575,000 Euros
Antwerp/Opglabbeek, November 11, 2009. Multicomm is taking over Intertrading, based in Opglabbeek, and in doing so greatly increasing its product speciliazation in decoration. Following the takeover, Multicomm will be an important European player in the field of mirrors and photo frames and will gain a strong position within the German market. LRM, PMV and the management decided to invest a total of 6,575,000 Euros to realize the expansion plans.
Multicomm has been developing and selling modern decoration and lifestyle retail concepts for wholesale distribution for 15 years. The company is active in more than 65 countries, employs almost 200 people and as a group will be realizing a turnover in 2009 of approximately 75 million Euros.
Intertrading
Intertrading is specialized in the development and sale of photo frames, mirrors and accessories, and realizes a turnover of more than 20 million Euros. Intertrading's activities complement those of Multicomm in the field of product, geographical market and type of customer. "There is a lot of complementarity between the two companies, which makes this takeover extremely interesting" confirmed Thierry Lescrauwaet, CEO of Multicomm. "For Multicomm, the takeover means a definitive breakthrough in Germany and a good diversification of the product range. Intertrading, on the other hand, will obtain access to the important French market. The deal means an important growth potential for the entire group”
The sale was mediated by SDM Corporate Finance Group.
Growth
The business plan foresees a growth in turnover of 66%, spread out over five years.
To finance the takeover and the ambitious expansion plans, LRM and PMV decided to invest 2,500,000 Euros each, using subordinated loans with warrants. The management is investing a further 1,575,000 Euros. The LRM investment will take the form of 1,500,000 Euros via its ARKIV subsidiary as part of the ARKimedes Fund.
"We strongly believe in the synergy between Multicomm and Intertrading and the growth potential of the combination" explained Freddy Daniëls, LRM investment manager. "Considering its location and expertise, Opglabbeek will grow into the group's distribution center for Germany, Switzerland and Austria. In five years time this will mean an extra 25 jobs at Opglabbeek"
"As a fast-growing company, Multicomm fits perfectly into the PMV growth mezzanine framework. We created that product to strengthen the financial structure of dynamic companies and to allow them to continue to build on their future" stated Filip Lacquet, investment manager at PMV.
About Multicomm
Multicomm is the umbrella organization of 12 companies, active in "home decoration" with their own retail concepts for wholesale distribution. Since 2009, the companies have operated under one name: Multicomm.
The baseline is "a passion for Brands". This both applies to the proprietary brand (Decofun, Mama l’O, Kidslab, Feel at Home) and the brands carried by international partners: Disney, Warner, Marvel, National Geographic, Olivier Strelli, Elle, Marie Claire, etc. Multicomm has been developing and producing products under license for 15 years. It understands the values and philosophy of these international licensers and converts these into products with a message and a shopping environment adjusted to this living environment.
The company invests a lot of resources in design, marketing and retail/POS solutions and the partnership with wholesale distribution is essential. Since its development, Multicomm has set up an impressive number of fixed shop meters in close cooperation with the retailers. Customer intimacy is not just a hollow phrase. Today, retailers with vision are looking for partners who can help them create added value, produce better returns and also meet all the requirements regarding service and in particular rules and regulations and "quality assurance". Multicomm meets all of these expectations. 85% of turnover results from fixed meters, which are keenly managed by Multicomm, often as category manager.
Multicomm's customers are retail chains, the end-users are consumers like you and me. Multicomm is the advisor/architect to the mass market. It leads and advises the consumer in their decisions and offers an understandable and easy way to execute solutions for the home at the point of sale. And all of this at low prices. The consumer does not always know what to choose so Multicomm tries to make the choice easier for the consumer by offering total concepts and POS translations. At the same time, Multicomm makes the point of sale more pleasant, which represents a win-win situation for the retailers.
www.multicomm.com
About LRM
LRM is a profit-oriented investor, offering entrepreneurs a unique combination of risk capital and real estate, Oxygen for growth!
LRM is a generalist, but has developed specific competencies in ICT, Life Sciences and Cleantech. LRM's activities contribute to the economic development and general employment of the province of Limburg. It targets all sectors and companies, from starting companies to growing SMEs and larger businesses.
Access to LRM runs via five domains: ICT & Media, Life Sciences, Cleantech & Energy, SMEs and Large Businesses.
www.lrm.be
About PMV
ParticipatieMaatschappij Vlaanderen (PMV) nv is an independent investment company that adds the vitamin into the Flemish economy. PMV strives for economic growth, but also values the social return on its initiatives. It gives driving power to businesses and projects which are important for the Flemish region. In doing so, PMV creates (added) value for the money Flanders is investing in its future.
www.pmv.eu
Further information
Multicomm
Thierry Lescrauwaet
CEO
T +32 495 50 84 92
E Thierry.lescrauwaet@multicomm.com
LRM
Jeffrey Alenus
Commercial Director
T +32 11 24 68 19
M +32 475 93 03 61
E j.alenus@lrm.be
PMV
Ben Jehaes
Spokesperson
M +32 495 54 78 40
E ben.jehaes@pmv.eu