Dutch publisher of puzzle magazines Keesing Media Group has received interest from three private equity investors who have gone through the next round of bidding, Gilde Buy Out partners among them, sources told Reorg.
The Ergon Capital-owned business conducted lender education three weeks ago and received pitches from banks and direct lenders in the range of 4x to 5x leverage, sources said. The company’s estimated EBITDA is in the range of €35 million to €40 million, sources said. ING is acting as financial advisor to Ergon, sources said.
In 2017, IKB Deutsche Industriebank underwrote Ergon’s senior debt package of €121 million to support the acquisition of Keesing Media Group from its publicly-listed parent Dutch publisher Telegraaf Media Group, according to the bank’s
website. Investec bank co-arranged the facility and has remained as incumbent lender and will be looking to support the business, sources told Reorg.
The debt package consisted of term loans, capex or acquisition facilities and an RCF. ING and Rabobank joined as early-bird mandated lead arrangers with KBC as joint lead arranger completing the bank line-up, according to an
article by
Private Equity Wire.
ING Benelux advised Dutch publisher Mediahuis on its acquisition financing of Telegraaf Media Group combined with Mediahuis’ refinancing, as well as the later disposal of Keesing, according to its 2017 financial
report.
Founded in 1911, Keesing Media Group publishes almost 750 different puzzle publications, according to the company’s website. The business is located in the Netherlands, France, Belgium, Denmark, Germany, Spain, Italy, Sweden, Norway, Hungary and the U.K.
Gilde and ING did not reply to Reorg’s request for comment at the time of the publication.