KKR
KKR taps into e-bike growth with $1.8B Accell Group deal
January 24, 2022
A KKR-led consortium has agreed to buy Accell Group, the Dutch owner of bicycle brands such as Raleigh and Sparta, for €1.56 billion (about $1.8 billion), as investors look to profit from e-bike growth.
Accell's H1 2021 results showed that e-bikes accounted for 53% of the group's overall sales, which are expected to reach nearly €1.5 billion this year. While e-bike sales fell year-over-year in the first six months of 2021 due to supply chain constraints, Accell reported double-digit growth in e-bikes sales in the previous two years.
"We believe that the bicycle sector and e-bikes in particular will play an increasingly important role in dealing with some of the major challenges the world is facing today, whether it concerns climate change, urban mobility and connected transport or personal health," KKR partner Tim Franks said in a statement.
The consortium is to pay €58 per share in cash for the Amsterdam-listed company, representing a 26% premium on the company's Friday closing price. The deal is being supported by Teslin and Hoogh Blarick, Accell's two largest shareholders, which own 10.8% and 7.5% of the company, respectively.
KKR is currently investing out its fifth European buyout fund, a €5.8 billion vehicle that reached a final close in 2019. The New York-headquartered firm is also raising capital for KKR European Fund VI.
Featured image by Nick Ansell/Getty Images
Accell's H1 2021 results showed that e-bikes accounted for 53% of the group's overall sales, which are expected to reach nearly €1.5 billion this year. While e-bike sales fell year-over-year in the first six months of 2021 due to supply chain constraints, Accell reported double-digit growth in e-bikes sales in the previous two years.
"We believe that the bicycle sector and e-bikes in particular will play an increasingly important role in dealing with some of the major challenges the world is facing today, whether it concerns climate change, urban mobility and connected transport or personal health," KKR partner Tim Franks said in a statement.
The consortium is to pay €58 per share in cash for the Amsterdam-listed company, representing a 26% premium on the company's Friday closing price. The deal is being supported by Teslin and Hoogh Blarick, Accell's two largest shareholders, which own 10.8% and 7.5% of the company, respectively.
KKR is currently investing out its fifth European buyout fund, a €5.8 billion vehicle that reached a final close in 2019. The New York-headquartered firm is also raising capital for KKR European Fund VI.
Featured image by Nick Ansell/Getty Images
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