4 new investments and 4 exits completed in 2016

It has been a busy year for ECI with four new investments and four exits.

We have now committed over 50% from our latest fund ECI 10, our largest fund to date of £500m, which we raised in 2014.

The year started strongly with the sale of Citation which generated a multiple of 5.4x money for our investors. Citation’s success adds to ECI’s strong track record of backing high growth businesses in the tech-enabled business services sector.

  Citation - professional solutions

In March we acquired a majority stake in Macclesfield based MPM, the leading premium pet food company, in order to help finance its continuing international expansion. This was followed shortly afterwards by our investment in Imagesound, a leading supplier of audio and screen media operating through its Imagesound and Musicstyling divisions. 

  

The second exit of the year was in June with the sale of ChartCo, a leading supplier of digital navigation and voyage compliance services to the marine industry, out of Kelvin Hughes Group for £55m.

That month we also invested in IT Lab, an award-winning provider of IT managed and technology related services to SME and mid-market companies operating in 12 sectors across the UK and, via its global partners, 13 countries across the world. Our investment will support the company’s position as a market-leading business and help finance its next phase of growth.

In August we completed the sale of Reed & Mackay which delivered a multiple of 3.4x cost to investors. 

ECI has built up an impressive twenty-year track record within the UK travel sector with R&M becoming the latest successful realisation in a long line of prior investments in this sector including CarTrawler (5.7x), LateRooms.com (9.1x), Kirker (2.1x), Holiday Autos (11.6x), Hoseasons (4.3x), and Sunsail (2.7x). 

rhubarb was our final exit of the year, which generated a 3.1x return. This was the seventh exit from ECI 9; all seven achieved over 3x money taking the overall realised return of the fund to 4.4x.