M & A

United Internet to become largest shareholder of Tele Columbus AG

Via its subsidiary United Internet Ventures AG, United Internet AG today contractually secured the acquisition of a share package amounting to approx. 15.31% of shares in Tele Columbus AG, Berlin, Germany. The closing of the acquisition is subject to approval by the German anti-trust authority ("Bundeskartellamt").
If the acquisition is approved, United Internet AG would have a total indirect shareholding – together with further shares acquired in the course of today – of 25.11% in Tele Columbus AG.
United Internet believes that Tele Columbus AG is a well positioned company with attractive market opportunities.
Ralph Dommermuth, CEO of United Internet, says: "We know Tele Columbus and its CEO Ronny Verhelst and value his successful management of the company. As a strategic investor, we plan to accompany the ongoing development of Tele Columbus AG and benefit from its growth in value."
United Internet AG does not, however, currently intend to acquire an equity stake of 30% or more in Tele Columbus AG – which would oblige it to submit a mandatory bid to all other shareholders of Tele Columbus AG – nor to make a voluntary takeover bid.

Bastei Lübbe AG: blueprint for enhancing value

Publisher Bastei Lübbe AG has purchased a majority stake in Buch Partner GmbH, acknowledged leader in book wholesale in the German-speaking areas of Europe. This acquisition will enhance its prestige and value in classical publishing and sales in traditional bookshops. According to a communiqué, Buch Partner GmbH has a staff of some 220 in addition to the 800 deployed at local level as support personnel available to retail outlets. Their task is to ensure the availability of the 2500 products, in particular for the promotion and discount initiatives. Buch Partner’s clients include all the major retail groups – the Edeka group (Edeka and Marktkauf), the REWE group (REWE and Penny), Kaufland, Familia, HIT, Saturn, Media Markt, Metro and Real. The actual price of the transaction has not been disclosed.

Rocket Internet strikes a deal with Chinese internet colossus, Alibaba

Rocket Internet has sold its 9.1 percent stake in Lazada to Chinese internet giant Alibaba. E-commerce company Lazada was established in 2012 and is the acknowledged leader in e-commerce sales for local and international brands to clients in the six South Asian markets including Indonesia, Singapore and Vietnam The price of the transaction – 137 Million US Dollars – was based on a extremely watered down assessment of Rocket Internet’s stake in Lazada.
According to the press communiqué, the agreement between Lazada and Alibaba was for Alibaba to increase Lazada’s capital by 500 Million US Dollars and so acquire control of the company, a transaction based on Lazada’s worth being assessed at 1.5 billion dollars. Once the transaction had been finalised, including Alibaba’s capital increase, Rocket Internet’s bare-bones stake in Lazada was only 8.8 percent. According to the company, the assessment was arrived at by multiplying Rocket Internet’s capital investment in Lazada of 18 Million Euros by a factor of  15.

Nanogate: still shopping

Entry Standard-listed Nanogate AG is pushing ahead with its growth-oriented  agenda, and has purchased a 75 percent stake in plastic materials specialist Walter Goletz GmbH. It forecasts an even higher medium-term turnover than its target, itself in excess of 100 million Euros. The new venture presently employs some 130 staff. Part of the price of the transaction is pegged to the results and will be paid in instalments over the coming years. Nanogate may use a scale model of this transaction to purchase the remaining stakes. Part of the purchase price will be met by shares (by means of a capital increase through contribution in kind) .
In a note, Nanogate states that this acquisition will enable it to extend its scope in systems in the development and production of plastic components.  The future aim of the company is to provide a one-stop coverage in development, production and multifunctional finishing of components. The new venture is strongly placed in the market especially as regards designer, and small- to medium-size components, while up to now Nanogate’s specialisation has been in larger size components.