EQT sells Sportradar to CPPIB and TCV for €2.1bn

Oscar Geen
10 July 2018

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EQT Partners has sold its 35% stake in Swiss sports data company Sportradar to a consortium of the Canada Pension Plan Investment Board and US-based PE firm Technology Crossover Ventures for an enterprise value of €2.1bn.

EQT will reinvest a portion of the sales proceeds into the company, and CEO Carsten Koerl will retain his stake, becoming a controlling shareholder following completion of the transaction.

The consortium won out against General Atlantic, Blackstone, KKR and Permira in an auction run by Evercore, according to a report by Unquote sister publication Mergermarket. The deal was expected to achieve a valuation of around 18-19x its €124m EBITDA, the report added.

During EQT's investment period, Sportradar's annual sales grew at a compound annual growth rate of 40% to €286m. In the same period, it increased its headcount to 1,665, at a rate of 25% per year.

EQT has recently made high-profile investments and exits in the data and analysis space. Last year, it sold Bureau van Dijk, a global provider of business intelligence and company information, to Moody's for €3bn.

In 2013, EQT and Singapore-government-owned GIC Special Investments sold Springer Science + Business Media to BC Partners for €3.3bn. It also bought a 56% stake in StormGeo, which analyses weather data to give specific forecasts for workers in the oil and gas industry, in 2014.

Previous funding
EQT drew capital from its €4.75bn buyout fund EQT VI in 2014 to buy shares from Sportradar founder and CEO Carsten Koerl, management and EQT Expansion Capital II.

The GP had previously acquired a minority stake in Sportradar in 2012 in exchange for a €44m investment from the €474m EQT Expansion Capital II vehicle.

Company
Sportradar employs 1,665 developers and sports specialists across 30 locations around the world. Its global headquarters are in St Gallen, Switzerland; the US operations are in Minneapolis, San Francisco and New York City. Google, Viasat, Lagardere and Paddy Power Betfair are among its clients.

People
EQT Partners – Dominik Stein (partner)
Sportradar – Carsten Koerl (CEO).

Advisers
Vendor – Evercore (corporate finance).
Acquirer – EY (tax).