Arx Equity Partners has invested in a Czech construction materials company by backing a management buy-out. The deal for a majority stake in Krkonošské vápenky Kunčice (KVK) includes subsidiary Parabit.
Arx sees growth potential in the Czech housing markets, and believes KVK continued success during the economic crisis puts the company is a strong position.
Krkonošské vápenky Kunčice (www.kvk.cz)
KVK is a construction materials company manufacturing stone products, concrete, roofing materials, construction chemicals, mortar, adhesives, and heating systems. Production facilities are located in Kunčice nad Labem, Košťany , Dětmarovice, Černý Důl, Horní Lanov, and Vrchlabí. A full logistics system with company-owned trucks delivers KVK products to destinations around the country.
Annual sales for KVK average more than €30 million.
Arx Equity Partners (www.arxequity.com)
Founded in 1996 as part of Deutsche Beteiligungs AG, Arx Equity Partners was known as DBG Eastern Europe until 2008. The firm has been actively investing in the CEE region since it’s inception, having successfully raised a total of €113 million though its first two funds.
Arx Equity prefers to invest in CEE companies via expansion capital, buy-outs and buy-ins, and consolidations. Arx Equity focuses on equity investments of € 3-15 million per transaction.
Arx Equity is based in Prague and maintains additional offices in Bucharest, Budapest, and Warsaw.
The Company also considers investments in Bulgaria, Croatia, Estonia, Latvia, Lithuania, Serbia, Slovakia and Slovenia.