ARX Equity Partners (“ARX”), the lower mid-market buyout leader in Central and Eastern Europe, together with experienced executive Jacek Gromniak, have completed the MBI of ANWIS Polska Sp. z o.o. (“Anwis”). Financial details of the transaction, made by ARX CEE III LP, were not disclosed.
Anwis (www.anwis.pl) is a Polish producer of custom-made window coverings and one of the leading manufacturers of window coverings and related components in Europe. The company has been operating in the region for 35 years and has recently seen rapid growth, with sales reaching € 22.6 million in 2013.
ARX and Gromniak plan to grow Anwis through organic expansion in existing and new geographies, with selective add-on acquisitions possible in the medium term. At present Anwis operates in Poland, where it has a market leading position, and Germany. The company will seek to further strengthen its position in these markets, as well as looking towards international expansion in the Benelux countries and France.
The market for tailor-made interior window coverings is forecast to grow steadily in the coming years, with areas addressed by Anwis forecast to grow faster than the overall market at in excess of 5% per annum over the medium-term. The German market for tailor-made interior window coverings is currently worth around € 400 million, while the Polish market for interior and exterior window coverings is approximately half of this size.
Gromniak, who was previously CEO of Somfy Poland, a major multinational manufacturer of motors and controls for window covering systems, will become CEO of the business. He commented: “Anwis is a clear market leader in Poland in custom-made interior windows coverings. It has grown sales dynamically over the past few years, exceeding the overall market trend, and we believe that it can further leverage its strong reputation for product quality and service capabilities to grow in Poland as well as internationally.”
ARX Co-Managing Partner Jacek Korpala added: “Anwis is great illustration of the succession-driven dealflow opportunity in CEE, and another example of ARX providing a tailored transaction solution to a retiring founder while partnering with a seasoned and entrepreneurial buy-in manager. We look forward to supporting the company in the next phase of its growth.”
Anwis founder Antoni Wiśniewski, who had led the company for 35 years, will continue supporting the company as supervisory board member.
The transaction follows ARX’s acquisition of Gramex, a Hungarian manufacturer and bottler of non-alcoholic beverages, earlier this year, and the full exit of its investment in Polish plastics processor, Ergis Eurofilms in December 2013, which generated an overall internal rate of return of over 33% and 4.5x cash-on-cash multiple.