Doughty Hanson fully exits listed HellermannTyton

Ellie Pullen
20 March 2014

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Doughty Hanson has sold its remaining stake in HellermannTyton т a UK supplier of cable management products listed on the London Stock Exchange т alongside the company's management for a total of ТЃ143m.

Between Doughty Hanson and certain members of the company's management team, a total of 46.9 million shares were sold in the placement at a price of £3.05 apiece, equivalent to a 21.8% stake in total.

Doughty Hanson is believed to have reaped the majority of the placement's proceeds – approximately £142.1m, due to the firm holding 46.6 million shares in the company directly after its last partial exit from HellermannTyton in September 2013.

The firm acquired HellermannTyton in February 2006, in a buyout valued at £303m representing 7.5x HellermannTyton's 2004 EBITDA. The deal comprised a £139m equity investment and a £180m debt facility supplied by Royal Bank of Scotland, according to unquote" data.

The company then listed on the LSE in March 2013, and Doughty Hanson sold 48% of its stake through the flotation, reaping a total of £182.1m alongside other selling shareholders.

Last September, Doughty Hanson sold a further 45 million shares in the company for £119m. The shares were sold at a price of £2.65 each and left the GP with a stake of 21.6% in the company – equivalent to 46.6 million shares. Prior to this placement, Doughty Hanson's stake had stood at 42.5%.

In January this year, HellermannTyton completed a refinancing comprising a new €230m revolving credit facility, which will mature in five years. The facility replaced HellermannTyton's existing €220m senior secured bonds and an undrawn €80m revolving credit facility, and was provided by a banking syndicate comprising Barclays Bank, Commerzbank, HSBC, Mizuho Bank, Royal Bank of Scotland and UniCredit Group.

Goldman Sachs and JP Morgan Securities acted as joint bookrunners for the placing, while Numis Securities was appointed lead manager. HellermannTyton trades on the LSE under the ticker "HTY" and has a market cap of £695.45m.

Company
Founded in 1935 and headquartered in Manchester, HellermannTyton has a market presence in 34 countries and employs 6,000 staff worldwide.

The company manufactures and supplies a variety of cable management products, including cable ties, clamps, conduit systems and protective tubing. The business generated revenues of €538m in 2013, as well as underlying EBITDA of €83m.

People
Chris Niemann is the president of HellermannTyton's EMEA operations.