Mobeus partially exits ATG Media through ECI deal
ECI Partners has invested in Mobeus Equity Partners-backed ATG Media, a UK-based online auction platform.
The deal will enable Mobeus to realise part of its investment, with the partial exit generating an IRR of more than 20%. Following the transaction, Mobeus will retain a significant minority stake in ATG.
The investment will enable the company to continue with the international acquisitive expansion strategy pursued under Mobeus's tenure.
ECI stated it was attracted to the deal by the company's technology and brand recognition.
The company cited ECI's experience in the online retail sector as motivation for the deal. In March this year, the GP reaped 6x in the sale of Irish online car rental service CarTrawler to BC Partners and Insight Venture Partners - a deal reported to be worth between £300-380m.
In May, unquote" reported Mobeus was in talks with ECI to iron out a deal.
Previous Investment
Mobeus supported the management buyout of ATG in 2008, investing £4.5m to back the spinout of the company from the Daily Mail Group. The GP made an add-on investment of £4.5m in May last year to finance the acquisition of US-based online auctions site BidSpotter.
Company
Established in 1971 as auctions publication Antiques Trade Gazette, ATG's current online marketplaces allow users to search antiques catalogues and place bids via timed auctions. It provides live audio and video feeds intended to replicate an auction room's atmosphere.
In addition to BidSpotter, the company also operates the-saleroom.com and i-bidder. ATG's websites were home to transactions worth £235m in the 12 months to May 2014, according to the company.
People
Tom Wrenn is a partner and head of technology, media and telecommunications (TMT) at ECI. Anne Somers is CEO of ATG Media. Mike Walker is a partner at Mobeus.
Advisers
Equity - Deloitte (Financial due diligence); EY (Tax); Liberty Corporate Finance (Corporate finance); PwC (Commercial due diligence); Squire Patton Boggs (Legal); Team Clicks (Management due diligence).
Vendor - Blake Lapthorn (Legal); First Capital (Corporate finance); Hambalt (Commercial due diligence).
Company - Blake Lapthorn (Legal); First Capital (Corporate finance).
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