Lion Capital expected to more than quadruple its money with Bumble Bee sale
SEAFOODNEWS.COM [PeHUB] By Luisa Beltran - December 22, 2014 -
Lion Capital expects to make more than 4.5x its investment with the sale of Bumble Bee Seafoods, according to a memo obtained by peHUB.
The sale of Bumble Bee is anticipated to generate about $440 million in expected proceeds and implies a near 40 percent IRR, the Dec. 18 communication from Kelly Mayer, a Lion partner, to LPs, said. The sale to Thai Union Frozen Products represents a 10.5x multiple, Mayer said.
“With respect to earnings development under our ownership, Bumble Bee maintained and grew gross margins through disciplined pricing actions, leading to adjusted EBITDA climbing to over $150 million this year, the highest level of EBITDA in the company’s history,” Mayer said in the memo.
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