Priveq, SEB exit Crem International in SEK 1.8bn trade sale

Nicole Tovstiga
27 February 2018

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Priveq Investment and SEB Venture Capital have sold coffee machine manufacturer and supplier Crem International to US food-service equipment maker Welbilt for SEK 1.8bn ($224m).

Both Sweden-based private equity firms are wholly exiting Crem after acquiring the Swedish company in November 2012 from Accent Equity.

The acquisition will be funded through cash and existing credit lines. The deal is expected to close in the second quarter of 2018, subject to regulatory approval. With the fresh capital, Crem plans on expanding the reach of its product portfolio through enlarged market access.

Previous funding
Accent Equity Partners bought a majority stake in Coffee Queen from founder Georg Möller via its Accent Equity 2003 fund in July 2007. The announced deal value stood at €42m, according to Unquote Data.

Swedish business Coffee Queen and Spanish firm Crem Aparatos merged in 2008 to form Crem International.

Priveq Investment, via its Priveq Investment Fund IV, and SEB Venture Capital led the buyout of the coffee machine producer from Accent Equity Partners in November 2012. The deal took place along with the founders Georg Möller and the Olaso family, as well as the company's management, led by CEO Sebastian Lindström.

Company
Established in 1983 and headquartered in Solna, Sweden, Crem is a manufacturer and supplier of coffee and espresso machines. Crem develops, manufactures and markets coffee machines under three brands: Coffee Queen, Expobar and Spengler. Its equipment is used in offices, restaurants, cafes, coffee shops, and catering and convenience stores.

The company has three manufacturing sites in Åmotfors, Sweden; Gandia, Spain; and Shanghai, China. These plants are supported by three R&D centres and six sales offices. Crem markets and sells its products in 80 countries. The company posted a turnover of SEK 767m in 2017.

People
Priveq Investment – Karl-Johan Willén (partner).
Welbilt – Hubertus Muehlhaeuser (president, CEO).
Crem International – Sebastian Lindström (CEO).