4 news

EQT III sells VTI Technologies to Murata Manufacturing

EQT III today announced that it has alongside with management agreed to sell VTI Technologies (“VTI”), the world’s largest independent designer and manufacturer of high-performance MEMS sensors, to the publicly listed Japanese electronics company Murata Manufacturing (“Murata”). EQT III acquired VTI from Breed Technologies Inc.

in June 2002 and VTI has since then increased sales by more than 75%. Substantial investments in research and development during EQT III’s ownership have enabled VTI to further strengthen its position in low-g acceleration sensors for automotive safety systems and selected medical applications as well as expand into new segments, such as consumer electronics. The recent launch of new products, including the new generation combined sensor product for the transportation segment and three-axis gyroscope for consumer electronics applications, will be key growth drivers for VTI going forward. Murata Manufacturing is a worldwide leader in the

design, manufacture and sale of ceramic-based passive electronic components and power supply modules. With annual revenues of ¥618 billion, Murata is committed to the development of advanced electronic materials and leading edge, multi-functional, high-density modules. Murata has employees and manufacturing facilities throughout the world. The combination of VTI and Murata is industrially very strong and complementary both with regards to product portfolios and exposure to different end markets. “Great results have been achieved together with

VTI management and we believe that VTI is now ready for its next growth phase with a new owner. We are confident that Murata, with its advanced technological profile, will be a good platform for VTI ‘s future development”, comments Johan Hähnel, EQT III press spokesperson. “EQT III has been a supportive owner and provided

VTI with valuable resources and expertise throughout their ownership. We believe VTI and Murata have a strong strategic fit and are excited about the opportunity of combining VTI’s productdevelopment and manufacturing competence with Murata’s well-built customer base and technological know-how”, says Markku Hirvonen, President and CEO of VTI. Advisors to the sellers were, in addition to EQT

Partners, Danske Bank Corporate Finance, DC Advisory Partners, Hannes Snellman and KPMG. Closing of the transaction is subject to approvals

from competition authorities and is expected during first half of 2012 at the latest.

Investec provides £14 million funding to management of Clyde Blowers Capital

Investec Specialist Bank’s (‘Investec’) Fund Finance team has provided a £14 million debt facility to the management of Clyde Blowers Capital (CBC), a leading investor in industrial businesses. The four year loan facility will enable the management of CBC to co-invest in the Clyde Blowers Capital Fund III (CBC Fund III). The target fund size of CBC Fund III is £350m with a hard cap of £400m. A second close is planned for later in the year. This will allow CBC to pursue the strong pipeline of deal opportunities it continues to build. CBC Fund II, a £250m fund raised in 2008, is now over 90% invested. The first divestment from CBC Fund II, the disposal of Clyde Union Pumps to SPX Corporation, was announced last month. Headquartered in Glasgow and with offices in China, CBC was founded in 1992

and now incorporates 83 companies operating in a total of 27 countries, employing approximately 5,000 staff. Simon Hamilton, Investec Fund Finance, said, “The management team at CBC has a fantastic track-record of growing companies and exiting investments, or parts of them, at the optimal stage in their life cycle. Our loan facility will enable the management team to personally invest more in the fund which not only leads to a stronger alignment with their investors but also helps them to benefit from their performance. This transaction highlights our flexible funding solutions and the innovative approach we offer to the investment community “We are delighted to be working with CBCs to support its expansion plans and ensure its staff are able to participate in the long term success of its investment programme.” Keith Gibson, Managing Partner, Clyde Blowers Capital said, “The Investec team has a

real understanding of the requirements of our business and the structures that we are subject to. We have been impressed by Investec’s commitment to backing our expansion plans and developing innovative financing solutions.” The Investec Fund Finance team focuses on the financing needs of leading private

equity funds and the professionals behind them. Investec offers a broad range of financing facilities tailored to the unique requirements of the private equity sector. Typically, the loan sizes are greater than £5 million and can extend to between £50 million and £75 million at the higher end. The loans are usually structured against the private equity investments, management company cash flows or investor commitments.

Assets Under Management Up 76% In Top 20 Asia-Pacific Banks

Citi moves ahead of UBS as the leading high net worth wealth manager in Asia-Pacific with HSBC ranked third according to a new report by Private Banker International. Private Banker International’s Top 20 Asia-Pacific Benchmark, a survey of the region’s leading private banks released today reveals that assets under management (AuM) held by the Top 20 Asia-Pacific banks has increased 76% to nearly $1trillion since the last survey of its kind in 2007. The study, which ranked banks by AuM for HNW clients with investable assets of more

than $1m, shows that global banks dominate the top spots. Citi ranked as the leading HNW wealth manager in the region followed by UBS, which narrowly lost its position as the world’s largest wealth manager in 2009.(1) HSBC comes a close third creating a three horse race for the claim of the Asia-Pacific region’s leading private bank. Local banks too are making progress with DBS, OCBC’s Bank of Singapore and Hang Seng Bank claiming market positions of ninth, 10th and 12th respectively. Nicholas Moody, editor of Private Banker International comments: “This latest survey

shows how dramatically the industry’s landscape has shifted in the post-financial crisis years. One of the most interesting aspects is the success retail banks have had in nurturing a pipeline of wealthy clients through their affluent banking channels. Private banks without a steady stream of clients from retail banking franchises are focusing on increasing market share through hiring initiatives and improving their share of wallet among existing customers.”

OCTOBER 2011 www.finance-monthly.com