MVC Capital, a publicly traded business development company that makes private debt and equity investments, has closed the sale of SHL Group, a MVC portfolio company, to The Corporate Executive Board for USD660m in cash, subject to customary pre and post closing adjustments.
SHL provides workplace talent assessment solutions, including ability and personality tests, and psychometric assessments.
The fund first invested USD6.0m in PreVisor in 2006. In January of 2011, SHL acquired PreVisor and the fund received shares in SHL.
With the closing of the transaction, the fund anticipates receiving net proceeds that closely approximate the current carrying value of USD15.3m as of 30 April 2012.
With the increased liquidity, the fund may explore several uses for the cash including, but not limited to, paying down a portion of its debt, in addition to capital redeployment into new and existing investments.
"We have been committed to working with our portfolio companies and seeking monetization events, assuming market conditions are appropriate,” says Michael Tokarz, chairman and portfolio manager of MVC Capital. “This positive realisation is an example of our continued focus and represents the further harvesting of investments as we are completing the utilization of our capital loss carry forwards. We would like to congratulate PreVisor and SHL’s management and employees and our co-investors on a successful transaction.”
