Encore Capital exits Pro Bike Kit

PBK will join The Hut Group's lifestyle division and allow the buyer to expand its product base and improve cross-selling opportunities.

Encore is reported to have enjoyed a 4x money multiple after holding onto the asset for a little more than a year.

Encore backed the company at the end of 2011, investing £5-15m in exchange for an 80% stake in the firm. The management team retained the remaining shares in the company. Fresh capital was intended to support the strengthening of the management team, international expansion and the opening of showcase stores.

Company
Founded in 1998 and based in Cumbria, Pro Bike Kit is an online road cycling retailer. Core products include bicycle accessories, components, clothing, tyres and nutrition supplements.

PBK has customers in around 150 countries and is expected to deliver a £20m turnover in 2012.

People
Encore partners Khilan Dodhia, Ed Shah and Dimitri Tzililis led the acquisition of PBK in 2011.

Advisers
Acquirer – Addleshaw Goddard, Roger Hart, Kieran Toal (Legal); Covington, Natalie Diep, Peter Laveran (Legal); Ernst & Young, Richard Harding, Noam Handler, Sue Wright (Financial due diligence, tax); Barclays, Costas Kalisperas (Corporate finance).
Company – Gordons Partnership, Jude Barter (Legal); Squire Sanders, Ryan Hawley (Legal).

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

• Topics
• UK / Ireland
• Consumer
• Exits
• United Kingdom
• Addleshaw Goddard
• Ernst & Young