Luxembourg/London – Castik Capital, the European private equity investment firm, has made a recommended cash offer, through Poseidon Bidco Limited, an entity incorporated by the Castik-managed EPIC Funds, for the entire issued and to be issued share capital of Waterlogic Plc, a global distributor of point-of-use drinking water purification and dispensing systems, used in offices, factories, workplaces, hospitals, hotels, schools and restaurants. Waterlogic is listed on the Alternative Investment Market (AIM) in London and has an established international presence, with 780,000 units installed across 50 countries and market leading positions in Australia, USA, Scandinavia, Germany and France.
The cash offer price of 151 pence per share represents a premium of 32.5% to Waterlogic’s closing price on 11 November. The offer has been unanimously recommended by the independent Board of Directors, and irrevocable undertakings to accept the offer have been received from shareholders representing approximately 60.76% of the issued share capital, or approximately 83.56% of the Waterlogic Shares eligible to vote in respect of the resolution to approve the Scheme at the Court Meeting. The offer values Waterlogic at approximately GBP 122.6m (fully diluted equity value).
“Waterlogic is a global provider of drinking water systems and services to companies. It has leading market positions across a range of international markets. Our strategy is to deploy significant capital to support the growth of the business, both organically and via acquisitions,” said Michael Phillips, Partner of Castik Capital. ”We are excited to be partnering with Management to deliver a strategy to consolidate the water market further, both in terms of Point of Use and Bottled Water Cooler units. Waterlogic has built an enviable position through its technology and service leadership and we look forward to leveraging this international platform.”
Waterlogic’s strategy of sustainable growth and focused innovation matches Castik’s long-term, value-enhancing investment strategy. Castik has an investment horizon of up to ten years, longer than most other private equity funds. This enables Castik to focus resources on its portfolio companies and ensure sustainable, long-term value creation. Castik is being advised by Altium Capital (M&A and debt advisory), White & Case, EY, OMMAX and CNC Communications.
Castik Capital S.à r.l (“Castik Capital”) manages investments in private equity. Castik Capital is a European multi-strategy investment manager, acquiring significant ownership positions in European private and public companies, where long-term value can be generated through active partnerships with management teams.
Founded in 2014, Castik Capital is based in Luxembourg and focuses on identifying and developing investment opportunities across Europe. The advisor to Castik Capital S.à r.l is Castik Capital Partners GmbH, based in Munich. Investments are made by the Luxembourg-based fund, EPIC I SLP, the first fund managed by Castik, which had its first close at EUR 625m in June 2014, and is targeting a final fund close of EUR 1bn in the coming months.
About Waterlogic Plc
Waterlogic Plc (AIM: WTL.L) is a leading designer, manufacturer, distributor and operator of mains attached point-of-use (“POU”) drinking water purification and dispensing systems designed for environments such as offices, factories, hospitals, hotels, schools, restaurants and other workplaces. Waterlogic is a Jersey-registered company.
Founded in 1992, Waterlogic was one of the first companies to introduce POU systems to Europe and has been a leader in the POU market in terms of product design and quality, the application of new technologies and in sales and service. Waterlogic has an extensive and expanding independent global distribution network in place, reaching over 50 countries around the world.
Waterlogic products are currently being distributed in North and South America, Europe, Asia, Australia and South Africa. Waterlogic’s leading markets are the USA and Western Europe, in particular Scandinavia, Germany and France.
Of the 2.1 million new POU and bottled water installations in the commercial market in the USA and Europe between 2005 and 2012, approximately 77% incorporated POU technology, of which approximately 29% were Waterlogic products.
More information can be found athttps://www.waterlogic.com/