Occurrences after closing of the financial year and prospects
Gimv announced mid March 2011 the sale of Scana Noliko to PinguinLutosa for an enterprise value of 155 000 000 EUR. Gimv has been a shareholder of Scana Noliko since 2004 and doubled its stake in the food group of Limburg to more than 90 percent in 2008. Since Gimv initially invested in it, the company has grown over 60 percent in both turnover and cash flow. The transaction, expected to be finalised mid 2011, still needs the approval of the competition authorities. The sale will have a positive impact of about 30 000 000 EUR compared with Gimv’s book value at closing per 31 March 2011.
At that same time, it was announced that Gimv-XL Fund will invest 60 000 000 EUR in the food group PinguinLutosa. This Belgian group is specialized in the development, production and sale of frozen vegetables and ready-made meals. After the acquisition of Scana Noliko, PinguinLutosa will also be one of the leading producers of canned vegetables and fruits, pasta, and soup and sauces in cans or glass jars. The 60 000 000 EUR investment through Gimv-XL will consist of a subordinated convertible loan of 36 000 000 EUR on the one hand and a equity investment of 24 000 000 in PinguinLutosa on the other hand. This transaction will take place under the condition precedent that the sale of Scana Noliko to PinguinLutosa is successfully finalised. This equity investment is planned to close in the fall of 2011.
In order to strengthen the equity position of Alfacam Group, Gimv subscribed to the capital increase of mid April 2011. Gimv’s participation in the company went up to 1 158 231 shares (13.09 percent) of the total share capital.
At the end of April 2011 Gimv also announced that it will invest, together with the Biotech Fonds Vlaanderen (managed by Gimv), 1 500 000 EUR in biotech start-up Multiplicom, which specialises in molecular diagnostics.
Prospects
Gimv has confidence in its portfolio. Not only did its investment portfolio prove to be sound during the past recession, it also showed resilience during the past two years and today shows great opportunity for further growth.
Further value-creation will, however, depend heavily on external factors, such as the perseverance of the macro-economic recovery, the value evolution of the dollar, the stability of the financial system, and the responsiveness of the IPO market.
Research and development
Gimv and its consolidated subsidiaries were not active in research and development this last financial year.