Equistone buys majority stake in Bavaria-based candle producers, The GALA Group
The GALA Group, headquartered in Wörnitz (Bavaria) has been steadily expanding its business areas and product range since it was founded in 1972. The company supplies major supermarkets, drugstores and discounter chains with scented candles, tea lights, grave lights, pillar and rustic candles and is represented in more than 25 countries through a network of distribution partners. The GALA Group has been recording significant and sustainable growth for many years. In the current financial year, it is on course to post revenues of more than €70m. Company founder Horst Langhammer is now retiring and stepping down as a managing director. Dirk Langhammer remains Group CEO and is still a shareholder in the GALA Group.
“The management of the GALA Group thinks in an impressively entrepreneurial manner. This is evident from the impressive growth figures of the last few years. The company is excellently positioned to deliver further expansion in a consolidating market. We now want to drive forward growth, both organically and through strategic acquisitions,” said Dirk Schekerka, Managing Director and Partner at Equistone. “We are looking forward to the future collaborative partnership with Dirk Langhammer and all the employees.”
“As a financially strong private equity investor with experience of medium-sized companies, Equistone is the right partner for us at the right time. We have high hopes for the future cooperation and look forward to the growth stimuli from our new majority shareholder,” explained Dirk Langhammer, CEO of the GALA Group.
Dirk Schekerka and Leander Heyken led the transaction for Equistone Partners Europe. Equistone were advised on the deal by KPMG (Financial), Watson Farley (Tax), PwC (Commercial), P+P (Legal Corporate), Sherman (Legal Financing) and Wolf Theiss (Legal and Tax Hungary).
Debt financing for the transaction was provided by BayernLB.
The parties have agreed not to disclose the purchase price.
Source: Equistone Partners Press Release