Further to regulatory approval, ARX Equity Partners / https://www.arxequity.com (“ARX”) has successfully completed the exit of its investment in Fincentrum / https://www.fincentrum.com, a leading, independent financial advisory business operating in the Czech Republic and Slovakia respectively.
Fincentrum facilitates the sale of mortgages, life insurance and investment products and boasts more than 3,000 financial advisors and a turnover in excess of €60 million. It ranks as the largest, independent distribution partner, primarily for banks and insurance companies, in the Czech and Slovak markets.
The ARX exit was finalised via a 100% sale to the Swiss Life Group / https://www.swisslife.com/en/swisslifegroup.html, a leading European provider of comprehensive life, pension and financial solutions. This acquisition strengthens Swiss Life’s presence in the region and positions the company as a clear market leader for independent financial advice in the Czech Republic and Slovakia.
Michal Aron, Partner at ARX, commented:
“We are pleased that the achievements of Fincentrum over the past few years have positioned the company as an attractive acquisition target for a blue-chip strategic acquirer* such as Swiss Life. Fincentrum has excellent long-term growth and development prospects and we believe that Swiss Life will be an ideal driver for the business going forward.”
*Financial details of the transaction were not disclosed.
The divestment of Fincentrum to the publicly listed Swiss Life represents the third exit from the ARX Czech portfolio over the past 12 months to major internationally listed strategic acquirers. This series of successful exits was initiated by the sale of ARX portfolio company KVK Holding to Swiss listed Sika in Q4 2017 and was followed by the exit of VUES to NYSE listed Moog in Q2 2018.
Brian Wardrop, Managing Partner at ARX, commented:
“The ARX exits achieved over the past 12 months are evidence of both the attractiveness of the Czech lower mid-cap market and the ARX investment focus as a whole. These transactions reaffirm that acquiring, developing and positioning lower mid-cap companies for exits to international strategic investors is a viable strategy for CEE.”
About ARX: (www.arxequity.com)
ARX Equity Partners is a private equity firm with a 20-year track record supporting the growth and development of mid-sized companies in Central Europe. With more than € 300 million raised in four funds, ARX has become a leading private equity firm in its segment in the Central European region. Headquartered in Prague, the firm’s activities are managed by an experienced and multinational team of investment professionals, combining a wide range of international expertise plus in-depth local knowledge. These features enable our portfolio companies to realize their full potential while achieving superior returns for our investors and partner entrepreneurs. Partnering with owners, managers and other co-investors, ARX focuses on later stage growth-oriented investments, such as management buy-outs and buyins and industry consolidation transactions across all sectors