IK taps Lincoln for 2Connect exit

Josh O'Neill
14 March 2022

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2Connect’s private equity owner IK Partners is working with Lincoln International on a secondary sale of the Netherlands-headquartered cable and connectors manufacturer, two sources familiar with the situation said.

The business is expected to be marketed off annual EBITDA totalling EUR 13m, both sources said.

The sellside advisor is poised to launch a formal auction in 2Q22, perhaps as soon as later this month or early April, both sources added.

In anticipation of the process, direct lenders are having informal discussions with prospective financial sponsors that could be interested in taking 2Connect through a second phase of private equity ownership, the first source added.

Last November, 2Connect snapped up German peer Büschel Connecting Systems. The terms of the transaction, which marked 2Connect’s first bolt-on under IK’s ownership, were not disclosed.

IK acquired 2Connect in November 2018 via its IK Small Cap II fund, a EUR 550m vehicle.

Established in 2000 and headquartered in Waalwijk, 2Connect produces specialised cables, connectors and electronic packaging, and employs more than 300 people. The firm, which has an in-house engineering and development team, manufactures specialised cables and connectors in addition to bespoke interconnection devices.

IK Partners and Lincoln International declined to comment.