private equity Funds, who bought the “Allegro” are not target investors in the future in a few years will want to sell the business at a profit, analysts say, which she told PAP. Note that the value of the transaction “impression”.
on Friday afternoon, the market came the information that Naspers sold website Allegro and Ceneo for a record $ 3.25 billion dollars Buyers are private equity funds Cinven, Permira and Mid Europa.
Bartholomew Heads, the General partner SpeedUp Venture Capital Group, the Fund, which invests in new technologies, the deal is a surprise. “It was expected, rather, that the buyer will be someone from industry, for example, from China or perhaps from Russia – although there may be a political issue,” he says.
As he noted, the company buys private equity funds, which are never the ultimate trader – they buy only for time to then resell at a profit.
“the Key issue right now is that they see the path to the exit, and to what term. This is a fairly large company that does not have too big market. Maybe they will think about debut on the stock exchange – rather, outside the territory of Poland. Depends on which direction the company will go and how it will develop. Typically, equity funds tend very much +settings+ part of the financial company – so in this case”.
According to him Naspers has a very good price for “Allegro”. “Results ” Allegro” are not the results of the state government, but if we accept that Naspers bought it eight years ago for half the price, it’s a Mature company, I think they got a very good price,” said REITER, Alexander a Goal.
the Volume of transactions impression on the boss of the analytical Department of the Bank Haitong Conrad Księżopolskim. “The amount is impressive,” assessed. According to him, the purchase through investment funds raises, however, serious questions about the future of Allegro. Private equity funds are the investor of a transition not targeted, strategic. In the next several years will be wanted to exit the business at a profit.
“let’s See what will have an idea for the future, “Allegro”, to obtain reasonable return of investment,” he said.
As noted, the additional question relates to who ultimately will include “Allegro.” The funds may attempt to find a strategic investor in the industry of e-commerce. This was the service of eBay, which, however, dropped out of the race after the “Allegro”. Theoretically, concerned the alleged leader on the Polish market can be Amazon, nevertheless, according to Księżopolskiego – the company’s strategy based on organic development, and not on acquisitions. The odds may have magnate from the East – Chinese website Alibaba.
“the Question is, will Amazon and Alibaba, if today were not interested in “Allegro” will be interested in purchasing, for example, three years,” says the analyst. According to him, the second option is to release funds private equity investment is stock exchange debut. To get a good price, until that time, the new owners of “Allegro”, however, needs to show the best results.
“maybe private equity funds already have in your stable some of the ventures who want to apply for this business to obtain a synergy effect. Perhaps, therefore, the funds agreed to create a consortium that is not often,” he said. It is also possible that investors will in the usual way to “squeeze” the business”, optimize it and updates. “Maybe there’s potential,” reflects Księżopolski.
According to him, it is sure that means buying the company for 3.25 billion dollars is the business idea, its growth and return on investment.
according to Księżopolskiego if the “market” will be discussed for several years, it would be good news for the Polish floor. “Given the size of Allegro, the company will certainly be one of the most interesting, it could be included in WIG 20, which is currently a little attractive,” he estimated.
a Radical change in the functioning of Allegro does not expect Krzysztof Zielinski from the research company Gemius. “The business activity of the company is stable, and the change of ownership for users of a site – if will be maintained the current policy of the company is not going to matter. On the other hand, “Allegro” is the largest Polish Internet brand, present on international markets. I wonder in what direction will the investors Mid Europa Partners. If it were investors, such as, for example, eBay or Alibaba, it would be possible to say what might happen,” said Zielinski RAR.
As noted by the investors who bought the Allegro, invested in Poland, and also in Sobral, Polish ropeway in LuxMed, or Asters. Zelinsky drew attention to the fact that Naspers by “Allegro” is almost two times earned this deal. “Allegro” you bought for 1.2 billion euros, and sold for 3.2 billion dollars. Very +nice+ ROI”, he added.
he Noted that when Naspers bought the “Allegro”, 8 years ago, it’s e-commerce market in Poland was a market “high growth”, currently it is the market stable, which Allegro is the leader. “It is difficult to achieve every year earnings growth above 20 percent, and such results are expected Napsters in new markets”, – he added.