CGS exits electronics company

CGS Management, the Pfäffikon, Switzerland-based buyout firm, has exited its investment in Electronicparc Holding, a Swiss electronics company that it created through a buy-and-build strategy.
 
Electronicparc has been acquired by Zurich-listed printed circuit board manufacturer Cicorel Holding for an undisclosed sum. The two companies have been merged under the name CICOR Technologies, which will employ 740 people and generate annual revenues of approximately CHF 190 million (€122 million; $147 million).
 
CGS spokesman Lars Niggeman told PEO that the firm made “a two digit IRR” on the transaction.
 
The investment was made from CGS’ 1999 vintage fund, CGS Partnership I, and dates from the same year. “The ElectronicParc investment consisted of five individual companies acquired and merged to form one strong entity,” said Niggeman. “As well as the add-on acquisitions, we made operational investments in the day to day running of the business, and managed some restructuring efforts that were necessary after the breakdown of the market in 2001.”
 
Shares in CICOR are currently trading at CHF 94.50, compared to around CHF 80 before the merger plans were announced last July.