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Skrill acquired by CVC Capital

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Skrill acquired by CVC Capital

Mon Aug 26, 2013 11:54 am

Do you know that Skrill  is acquired by CVC Capital?

Is this good news or bad news to arb community?

I am a bit worried with this news.
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Re: Skrill acquired by CVC Capital

Mon Aug 26, 2013 8:00 pm

[Aug 19 (Reuters) - Bahrain-based Investcorp said on Monday it agreed to sell a majority stake in British online payments services firm Skrill Group to private equity group CVC Capital Partners for 600 million euros ($800 million).

As part of the deal Investcorp will keep an approximate 25 percent stake in the company, sources said. It will also retain a seat on Skrill's board, the company said in a statement.

Investcorp Technology Partners, the private equity firm's technology arm, bought Skrill, or Moneybookers as it was formerly called, for 105 million euros in March 2007, according to Thomson Reuters LPC data and put the company up for sale earlier this year, hiring Barclays to run the process.

CVC's acquisition of a 75 percent stake in Skrill will be funded with around 250 million euros of equity as well as debt financing provided by Credit Suisse, RBS and Jefferies.

The leveraged loan financing includes a 275 million euro term loan B, paying 500 bps over Euribor as well as a 30 million euro revolving credit facility. Debt totals around 5 times Skrill's approximate 55 million euro earnings before interest, taxes, depreciation and amortisation (EBITDA), two banking sources said.

Investcorp initially invested 25 million euros for a controlling stake in Skrill in 2007, when Skrill generated revenues of 7.8 million euros and EBITDA of 3.7 million euros. It now employs about 700 people and in 2012, generated over 200 million euros in revenues, Investcorp said.

Bahrain-based Investcorp: No wonder I never really trusted them.

CVC Capital Partners is a $46 billion dollar private equity firm that originated as a spun-out section of then Citicorp(now Citigroups)'s Venture Capital division (specifically the European arm of Citicorp Venture Capital).
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Re: Skrill acquired by CVC Capital

Wed Oct 09, 2013 8:27 am

It seems the same CVC Captial group tried to take over Betfair in May 2013 for the sum of £1bn. The deal collapsed though cause the board said the amount was too low. What are this cvc guys up to?
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Re: Skrill acquired by CVC Capital

Wed Oct 09, 2013 9:22 am

bluedragon wrote: What are this cvc guys up to?
Money circulation control.
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Re: Skrill acquired by CVC Capital

Sun Nov 17, 2013 6:49 pm

Once again, a big fish trying to eat the small ones. I think it will still be the same thing.

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