LONDON (dpa-AFX) - Hg, the Manager of HgCapital Trust plc (HGT.L) that invests in software and tech-enabled services businesses, announced Thursday the sale of Citation Group to investment firm KKR.
On completion of the deal, HGT will realise estimated cash proceeds of approximately 25.8 million pounds. This would represent an uplift of 3.6 million pounds or 1 pence per share over the carrying value of 22.2 million pounds in the Net Asset Value of the company as of March 31. Based on the reported NAV, following completion of the transaction, the pro-forma NAV of the Trust is expected to be 970.5 million pounds or 237.6 pence per share.
Citation Group is a provider of subscription-based HR and Employment law, Health & Safety, and ISO services to Small and Medium-Sized Enterprises or SMEs. Citation provides tech-enabled compliance and quality related subscription services to over 40,000 SMEs across the UK.
KKR's investment in Citation is being made through its European private equity fund, European Fund V, and through its Global Impact Fund.
Tim Franks, Partner and Head of UK, and Joerg Metzner, Director and Co-Head of EMEA Business and Consumer Services at KKR, said, 'We are excited to invest in Citation as the company provides essential, tech-enabled services to a large universe of Small and Medium-Sized Enterprises, a vital component of the UK economy.'
In the deal, Jefferies International Limited, Deloitte, OC&C, Weil, Gotshal & Manges LLP and Addelshaw Goddard LLP advised Citation and Hg.
HgCapital Trust will release its interim results to June 30 on September 14.
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