HIG sells Weru to trade

Harriet Matthews
06 July 2021

Tweet
Facebook
LinkedIn
Google plus
Send to

HIG Capital has sold Germany-based window and door producer Weru to Danish market peer Dovista.

Unquote sister publication Mergermarket reported in March 2021 that HIG had mandated Cowen to run a sale process for Weru. The company was to be marketed based on 2020 revenues of €160m and EBITDA in the €10-15m range.

Triton initially took Weru private in 1999, acquiring its 6% public free float alongside the remaining 94% from building products supplier Caradon. Triton paid DM 240m (around €122m) for Caradon's stake, according to Unquote Data.

Triton sold Weru to HIG in 2013, having supported the company through a challenging time for the European window market, which halved in size between 1999 and 2007, according to a statement issued at the time. The company posted revenues of €143m in 2012 and employed 1,000 staff at the time of its acquisition by HIG.

HIG invested in Weru via HIG European Capital Partners II, which held a final close in July 2013 on €825m. The fund deploys equity tickets of €20-40m, making buyout and growth investments in European mid-market companies. The GP held a final close for HIG Europe II's successor vehicle in November 2020 on €1.1bn.

During the investment period, the company made add-ons including wood-based products specialist Unilux in March 2014. In 2015, the company acquired door, shutter and window installation company Schneeberger Bauelemente Potthoff. In addition to making add-ons, the GP said in a statement that it had modernised Weru's production facilities, launched new products, and put in place digital innovations.

Company
Rudersberg-headquartered Weru was founded in 1843. The company produces doors and windows for houses, focusing on PVC structures, but also produces aluminium and wooden fittings. The company sells its products via a network of 1,700 retailers. Weru has three manufacturing sites in Rudersberg, Triptis and Salmtal, employing 1,100 staff.

The company posted 2019 EBITDA of €12.4m and revenues of €159.4m, according to its publicly available financial statement for that year. The company drew 81% of its revenues from windows and 14% from doors, according to the statement. In 2020, the company posted revenues of €162.4m.

People
HIG Capital – Klaas Reineke (managing director).
Weru – Stefan Löbich (CEO).
Dovista – Allan Lindhard Jørgensen (president, CEO).