We are fortunate to have worked with Kings Park Capital who backed management’s vision from the start and used their expertise and network to help us deliver and accelerate our growth plans.
Kings Park Capital has sold IHS GmbH (“IHS” or the “Company”) to a NewCo backed by Battery Ventures (“Battery”), a US-based technology-focused investment fund.
IHS is headquartered in Frankfurt, Germany and provides a range of global sales & marketing, distribution, and training services to independent hotels and regional hotel groups. The company supports 20,000 hotel properties in 65 countries, reaching 120 million guests and helping its hospitality customers generate more than $3 billion in room revenue each year.
The sale of IHS represents the first full exit by Kings Park Capital from its inaugural Fund, which closed in October 2008, and follows a decision by the Company to initiate a sale process late last year.
Financial terms of the transaction were not disclosed. The disposal generated a gross money multiple of 3.8x for Kings Park Capital.
During the Fund’s ownership period, the Company has increased in value significantly. This has been achieved through strong growth in both underlying revenue and EBITDA, which, in turn, has been generated by investing in management talent; significant investment in the Company’s products and services; growth in the customer base; and improved cost and working capital controls.
Mike Ball, CEO of IHS, commented
“In the five years since forming IHS we have created one of the world’s leading and fastest growing hotel services businesses. We are fortunate to have worked with Kings Park Capital who backed management’s vision from the start and used their expertise and network to help us deliver and accelerate our growth plans.”