Advent reaps further £94m from DFS sell-down

Advent sold 32 million ordinary shares at 295 pence apiece, raising gross proceeds of £94.4m, via an accelerated secondary placing to institutional investors.

The placing is expected to settle on 26 October, after which Advent will hold a 38.2% stake in DFS. Jefferies International and UBS acted as bookrunners and placing agents on the transaction.

DFS listed in March this year, with shares priced at 255 pence apiece – towards the lower end of the initial 245-310 pence range. The IPO valued DFS at £543m.

The company's shares were trading at 309 pence at the time of writing, valuing DFS at around €650m.

The IPO followed a recapitalisation of DFS in March 2013, which saw it issue a £310m bond that enabled it to refinance its outstanding 9.75% bond due in 2016.

Advent acquired an 85% stake in DFS from founder Lord Kirkham in a £500m deal in April 2010, beating competition from Cinven and Permira. Lloyds TSB provided a debt package to support the transaction.

Company
Founded in 1969, DFS is a retail chain specialising in the manufacturing and sale of household sofas. The firm has 100 stores across the UK and Ireland, and employs more than 3,500 people.

In its most recent preliminary results, the company posted revenues of £706m, with adjusted EBITDA of £89.2m.

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• UK / Ireland
• Exits
• Consumer
• United Kingdom
• Advent International
• Partial sale