VCT News
Beringea's ProVen VCT and Barclays Ventures exit portfolio company TMI UK in sale to Cello Group Plc
10 January 2006 - Private equity firms Beringea and Barclays Ventures announced today that they have realised their investment in Labinah Management Training Limited (which trades under the brand 'TMI UK') following a £4.1 million sale to Cello Group Plc, the quoted marketing services group.
Warwickshire based TMI UK was founded in 1978 and is a leading provider of organisational development and consultancy solutions to a range of blue chip clients including Toyota, Hewlett Packard, Marks & Spencer and National Express Group. In the 12 months to June 2005 TMI generated operating profits of around £600k.
Cello was founded in May 2004, and listed on AIM in November 2004. The Group provides leading-edge client solutions in market research, brand development, direct marketing and database management. TMI UK will join Cello's brand development platform and is the company's fifth acquisition since the beginning of 2005.
Commenting on the deal, Beringea's Jamie Kennell says: "We are very pleased with the sale of TMI to Cello. The purchase price of £4.13m reflects a multiple of 8 times EBIT. This represents a good result for Beringea [ProVen VCT]."
Jamie Kennell and Anji Gopal co-ordinated the exit for Beringea and Barclays Ventures respectively. The institutions originally backed the MBO of the company in December 2000.
About Beringea
Beringea is an international venture capital firm with offices in London and Detroit. In the UK Beringea manages ProVen VCT, ProVen Health VCT, ProVen Growth & Income VCT and Global Rights Fund II. Beringea launched its first VCT in 1996, making it one of the most experienced VCT managers in the UK. ProVen Growth & Income and ProVen VCT are highest performing VCTs of their launch years, respectively, according to www.taxefficientreview.com. For more information please visit www.provenvcts.co.uk.