Exponent Private Equity is to sell Fintrax Group to Eurazeo, a listed European investment company, for EUR585m, of which EUR35m is payable as deferred consideration). This results in a 4.0x money multiple for Exponent’s GBP805 million second fund.
Fintrax is a leading global provider of tax free shopping and dynamic currency conversion services. Its customers are many of the world’s leading luxury retailers and the business has benefitted from the global growth in tourism and luxury shopping.
During its ownership Exponent has strengthened the management team, invested in the business’ market leading technology and expanded into new geographic markets. This has resulted in the EBITDA increasing by more than 250 per cent.
Mark Taylor, partner at Exponent says: “A lot has been achieved over the three years we have owned Fintrax. During this time we have worked hard alongside management to strengthen the company’s leading market position and grow revenues and profits. We have already begun to see the benefits of our investment into technology, particularly card recognition and mobile, as well as the decision to expand Fintrax into new territories in Northern Europe. I am confident that the business, under new owners Eurazeo and the exceptional management team, will continue on this path of success.”
Patrick Waldron, CEO of Fintrax Group, says: “The management team and I have enjoyed a fantastic journey with Exponent and together we have developed Fintrax into a leading global payments business. We are now genuinely delighted to be continuing this journey with Eurazeo, who absolutely share our belief in the business and its growth potential.”
