H2 Equity Partners exits Dümmen Orrange, floricultural breeding business

H2 Equity Partners (‘H2’) has announced the sale of Dümmen Orange to BC Partners, a leading private equity firm. Dümmen Orange is the global leader in the floricultural breeding sector, with a broad portfolio of 3,500 proprietary varieties of cut flowers, pot and bedding plants.

Dümmen Orange’s core business is the development of flower varieties with differentiating characteristics for growers, retailers and consumers, and it produces cuttings which are then supplied to growers globally. Leveraging distinctive capabilities in innovative breeding technologies, a global commercial network, unmatched production scale, and a successful track record of value-creating acquisitions, Dümmen Orange is leading the consolidation of the floricultural breeding sector. Headquartered in De Lier in the Netherlands, with production farms in Central America and East Africa, and commercial presence in all key end-markets, Dümmen Orange employs 5,600 people globally.

H2 created the basis for Dümmen Orange in 2010 by acquiring Agribio from Kirin Holdings LLC. The at that time unfocused portfolio of activities was quickly streamlined into a business purely focused on floricultural breeding. During H2’s holding period Dümmen Orange invested heavily in the strengthening of management, organization and R&D. The current management of Dümmen Orange is highly experienced and has a unique track record in floricultural breeding and adjacent industries. In 2011 a strategic interest was acquired in Genetwister, whereby Dümmen Orange entered the space of advanced breeding techniques. The company became the clear consolidator in the fragmented floricultural breeding industry, evidenced by in total 9 acquisitions since 2010 including a merger with German family owned Dümmen Group in 2013. Today Dümmen Orange is ready to enter the next growth phase focused on bringing value added innovation to grower, retailers and customers and an acceleration of the industry consolidation.

H2 was advised by William Blair as corporate finance advisor. Houthoff Buruma acted as legal advisor and Deloitte acted as financial and tax advisor.

Awaiting regulatory approvals, it is expected the transaction will close soon.

About H2 Equity Partners

H2 Equity Partners is an independent private equity firm founded in 1991, active in Benelux, Germany and the United Kingdom. H2 has built an exceptional record of acquiring and growing fundamentally attractive businesses that have a combination of operational, financial or strategic improvement opportunities at the time of investment. H2 currently manages a portfolio of 15 companies generating over €2.0 billion in sales.

 

Source: H2 Equity Partners

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