Norvestor VIII, Norvestor SPV II divest PHM Group, Sperre Air Power to funds managed by Norvestor
Norvestor VIII SCSp (“Norvestor VIII” or “Fund VIII”) and Norvestor SPV II SCSp (“Norvestor SPV II” or “SPV II”) announced today the successful closing of the divestment of two companies to a newly formed continuation fund Norvestor SPV III SCSp (“Norvestor SPV III” or “SPV III”) alongside an investment from the flagship fund Norvestor IX SCSp. Through this transaction, the companies will benefit from continued backing and strategic support from Norvestor and their management teams, positioning them for further growth and development throughout the next ownership cycle, while also providing optionality to existing investors.
- Norvestor VIII divests PHM Group Oy (“PHM”), the leading European residential property services provider, with operations across Finland, Sweden, Norway, Denmark, Germany, Switzerland, and the United Kingdom. PHM is the largest European consolidator of its kind, providing essential services to the homes of several million residents, and will continue its growth and expansion through an extensive M&A pipeline, digital innovation, and operational improvements.
- Norvestor SPV II divests Sperre Air Power AS (“Sperre”), a leading supplier of mission-critical compressed air system solutions to the global maritime and power plant industries. Sperre is set to continue to grow its vast installed base, introduce an extended product line, and provide digitalised system solutions supporting shipowners in the ongoing fuel transition.
SPV III closed on approximately EUR 2.5 billion of new capital commitments to fund the purchase and further financing of the assets from their respective funds and minority investors. The transaction, which was oversubscribed, was co-led by Carlyle AlpInvest, Ardian, HarbourVest Partners and Lexington Partners, supported by a number of other investors, most of whom have longstanding relationships with Norvestor.
Norvestor SPV III will have available follow-on capital to support the ongoing growth and development of PHM and Sperre. Existing Fund VIII and SPV II investors were given the option to reinvest the proceeds from their existing investments or receive full or partial liquidity.
Lars Grinde, Managing Partner at Norvestor Advisory, commented; “PHM and Sperre have clear growth journeys ahead of them, and we are thrilled to extend our partnership. SPV III is Norvestor’s third transaction of this kind, cementing a strategy centred on continued development of companies alongside their management teams where we deem Norvestor as the right partner to create further lasting, sustainable growth. The SPV III transaction benefits our investors, providing the optionality of liquidity at attractive returns or the opportunity to continue to take advantage of significant value creation initiatives, as well as the two companies, whose long-term growth trajectories we are excited to support.
“We have had a remarkable partnership with PHM in the last five years, with the company growing from a leader in Finland to maintaining and providing essential services to the homes of millions of residents across Europe” added Karl Svozilik, Partner at Norvestor Advisory and Chair of PHM. “PHM’s continued development, led by Ville Rantala and his team, presents an incredible opportunity, and we are grateful to the strong group of investors who supported this process.”
Per-Ola Baalerud, Partner at Norvestor and Chair of Sperre, concluded; “Sperre continues to be a leader in its field, and has gone from strength to strength since our initial partnership in 2018, and more recently in 2022 through SPV II. We are thrilled to be able to continue our partnership with Ole Nustad and his team, and look forward to this next phase of growth, solidifying Sperre’s position as a unique player in the maritime space.”
Lazard, Simpson Thacher & Bartlett, BAHR, and Arendt advised Norvestor on the creation and closing of Norvestor SPV III and sale of the assets.
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For further information:
Lars Grinde, Managing Partner at Norvestor Advisory
Email: lag@norvestor.com
Karl Svozilik, Partner at Norvestor Advisory
Email: ksv@norvestor.com
Per-Ola Baalerud, Partner at Norvestor Advisory
Email: pob@norvestor.com
Norvestor Advisory is a leading private equity company focusing on mid-market buyouts in the Nordic region. The team has worked together since 1991, making it one of the most experienced private equity teams in the Nordics, having executed 98 investments with >600 add-on acquisitions, in addition to executing 66 exits, including 16 IPOs. The Norvestor Funds seek to invest in growth companies in the Nordic mid-market that have the potential to achieve a leading Nordic or international position, typically through organic growth, acquisitions across fragmented industries or by geographic expansion. Read more at www.norvestor.com