Penta Investments, a Central European investment group, has concluded an agreement concerning the sale of a 100% share in TES Vsetín and MEZservis (the TES Group) to Advent International, a private equity company.
The transaction is subject to approval of the anti-monopoly offices in the Czech Republic and Germany. Both parties agreed not to disclose the value of the transaction.
The TES Group manufacturers electric motors and generators, supplies electric machine parts and component subassemblies for leading energy and electrical engineering companies worldwide and provides engineering and maintenance services. The Group’s workforce of approximately 670 make it one of the important employers in the region.
Penta acquired TES Vsetín in 2008 and added MEZservis, its partner engineering and maintenance company, in 2010. The TES investment ranks among Penta’s most successful projects.
“The TES Group has undergone a very positive development in recent years. We have accomplished our goal of increasing the company’s value significantly. During our involvement, its EBITDA has increased by 110 %, to almost EUR 16 million. The TES Group has become a leading European player in its line of business and is expanding to new markets successfully,” said Václav Brož, Penta’s investment manager.
“Since our goals have been accomplished, we decided to begin the sale process and benefit from our investment. I would like to congratulate Advent International for an important acquisition and wish them luck in developing TES and MEZservis further,” added Brož.
During the transaction, Penta has been assisted by PWC, Hogan Lovells and Mazars.
About TES Vsetín
- TES Vsetín is a manufacturing company with a long-standing tradition in the area of energy engineering and renewable energy sources. In September 2009, the company celebrated a 90th anniversary of electrical engineering production in Vsetín.
- TES currently has 500 employees. Direct exports account for approximately 70% of the production and are destined to, among others, the EU and EFTA member countries, Russia, Turkey, Thailand and the USA.
- The company is a leading European manufacturer of generators mainly for small hydroelectric plants and supplies parts and component subassemblies (such as parts of generators for windmill generating stations) to leading energy and electrical engineering companies worldwide.
- TES Vsetín has been owned by Penta since 2008. Penta restructured the company, reduced its operational costs, increased productivity and expanded to new markets successfully.
About MEZservis
- MEZservis is building on the long-standing tradition of electric engineering production in Vsetín. The original company has been founded in 1919 by Josef Sousedík, holder of many important patents in the area of electric motors.
- MEZservis provides engineering and maintenance services, designs, manufacturers and maintains electric machinery (drives and control panels) and develops and produces single-purpose electric devices.