In buyout transactions we acquire a majority stake in the business. Our goal is to facilitate the company’s seamless transition to the next stage of development. Partnering with management teams and other shareholders, we help companies formulate strategy, conceptualize and implement optimal financing structures, and recruit high-caliber executives.
Enterprise Investors has completed buyout transactions in AVG Technologies, Kruk and Scitec Nutrition, among others.
When Polish Enterprise Fund V invested in AVG Technologies (then Grisoft) in 2005, the Czech company was well known for its anti-virus software. It had around 25 million users but needed to expand globally, add new products and enter new service areas. We supported the company’s development by strengthening the management team and enlisting talented executives with global experience. We helped identify and acquire companies in order to build new services and expertise; we also advocated expansion of the product range beyond the original anti-virus software. All this accelerated growth. As a result, AVG saw a 7.5 times increase in the number of active users, and transformed itself from regional player into a global industry leader. During the investment period we helped create a strong corporate structure and build a solid financial track record. This facilitated the company’s listing on the New York Stock Exchange and the raising of USD 64 million in new capital in 2012.
AVG Technologies became a leading provider of software and online services for the consumer and small business markets, with solutions that range from desktop, laptop and mobile security software to dynamic secure internet search tools. During EI’s investment the market capitalization of the company increased nearly 12 times to USD 919 million. Enterprise Investors fully exited AVG Technologies in August 2014.