Deal Details: Ensto has acquired Renley Ltd, an Irish manufacturer of low and medium voltage products and related services for local DSOs (distribution system operators) for an undisclosed sum. Renley will be known as Ensto Renley Ltd post deal.

Ensto designs and provides smart electrical solutions to improve the safety, functionality, reliability and efficiency of smart grids, buildings and transportation. It employs c.1,400 professionals in Europe, the USA and Asia and generated a turnover of €260m in 2019.

Renley Ltd is a well-known supplier for major DSOs in Ireland and the UK. It employs c.20 people in Dunboyne, Ireland.  In 2019, Renley recorded a turnover of €5.4m. Prior to the transaction, Renley was wholly owned by Declan McGrath.

Advisers: Paddy Dooley and Alan Kelly of Focus Capital Partners led the financial advisory and Cillian Balfe in Whitney Moore on the provided legal advice.

Renatus Comment: This acquisition will further strengthen Ensto’s DSO business by giving them broader market access in Ireland and the UK.  Many of Renley’s products complement those of Ensto’s which will lead to cross and up-selling opportunities across the group.

Source: Ensto press release

Deal Details: Cork-headquartered solar energy IPP Amarenco Group has acquired a 49.94MW solar project called ‘Las Naranjillas’ located in Carmona, Seville from Hanwha Energy in Spain. The plant will produce enough energy to meet the electricity demand of 13,997 homes.

Amarenco is a leading Solar IPP operating in France, Ireland, and Oman. It develops, finances, builds and operates commercial and utility-scale solar PV projects. It has successfully delivered over 2,000 solar infrastructure projects to date. In the financial year to December 2019, Amarenco Solar Limited recorded revenue of €39.1m and EBITDA of €2.6m. Amarenco is led by Executive Chairman John Mullins.

Established in 2007, Hanwha Energy specializes in comprehensive energy solutions that produce high-quality electricity and steam.

This acquisition marks the group’s first attempt to gain a foothold in the Spanish market. The group has recognised the Iberian region as a key market for the group’s long-term sustainability and is targeting more acquisitions in this region.

Advisers: None mentioned

Renatus Comment: This appears to be a good acquisition by Amarenco as they look to penetrate a lucrative Iberian market. Back in November, we saw the group successfully close a €150m new capital commitment from Tikehau Capital. This financial commitment has enabled the company to explore value enhancing opportunities by hiking up solar power production through acquisition.

Source:  Irish Examiner, Amarenco

Deal Details: The DMS Group has acquired Azienda Financial Services, a well-established and independent corporate services provider, based in Luxembourg. The financial consideration of the deal was not disclosed.

DMS Governance is a leader in governance, risk and compliance services, representing leading investment funds and managers with assets under management exceeding $350bn.

Azienda specialises in administering investment structures for Private Equity, Real Estate and Structured Finance.

Niall McNamara, Structured Finance MD has highlighted that Luxembourg is a key jurisdiction for them and this acquisition will allow them to capitalise on the steps they have made in Luxembourg.

The acquisition also serves to complement the Group’s recent agreement to come together with Luxembourg-based MDO, demonstrating its commitment to the region.

Advisers:  Dara Kelly led the Grant Thornton team providing buy-side advise & support.

Renatus Comment: Luxembourg has been a well-established fund industry centre for over 30 years with a reputation for attracting large cross border investment platforms and reputable prominent fund and asset managers.

Luxembourg is also the largest investment fund centre in Europe and the second largest in the world after the US.  This is attribute to its favourable legal and regulatory framework, its toolbox for investment and its investor friendly ecosystem.

The acquisition of a well-respected structured finance operation with a solid client base will further strengthen the Group’s footprint in the region and build upon its already significant Luxembourg presence.

Source:  DMS, Grant Thornton

Deal Details: Keywords studios has agreed three acquisitions: High Voltage, PR agency Indigo Pearl and recording studio Jinglebell Communications.

For Indigo Pearl, Keywords is set to pay up to £1.1m (€1.2m) in cash and £500,000 worth of stock on the first anniversary of completion. A deferred consideration of up to £400,000 will be paid three years from completion, subject to certain conditions being met. London-based Indigo Pearl specialises in the video game sector, with a 10-person team that covers traditional campaigns alongside social media and influencer-driven campaigns.

For Jinglebell, Keywords will pay €1.5m in cash and €300,000 worth of stock on the first anniversary of completion. Jinglebell is a boutique recording studio that provides audio recording, music production and sound design for video games and advertisements.

Keywords studios has also agreed a deal to acquire games development services provider High Voltage for consideration of up to $50m (c$41m). Keywords will pay an initial consideration of $23.75m in cash and $9.75m in stock, with a deferred consideration of up to $16.5m in cash and share contingent on performance targets being met by  December 31st, 2021. Chicago-based High Voltage, founded in 1993 by Kerry Ganofsky, is a full-service game developer. It ships more than 100 games across all major platforms.

Advisers: None Mentioned

Renatus Comment: I think we can now crown Keywords as the most active player in the video games M&A market.
Keywords have utilised selective acquisitions to become a one stop shop of video game services.

Keywords’ growth strategy is focused on bolt-on acquisitions coupled with organic growth. These acquisitions allow Keywords to enhance their product portfolio, technological position, market reach and customer service capabilities with much lower levels of investment.

Source:  Keywords, Irish Times

Deal Details: Brown & Brown Inc has entered into an agreement to acquire the general insurance operating companies of O’Leary Insurances (OLI).

The deal is expected to close in January 2021. The financial consideration was not disclosed.

Founded in 1961 by the late Archie O’Leary, OLI is one of the largest independently owned brokerages in the Republic with 200 employees operating from eight locations. They recorded turnover of €11.6m for the year ending June 30th, 2019.

New York-listed Brown & Brown is the sixth largest independent broker in the US, with more than 10,000 employees and reported revenues of $2.93bn (€2.4bn) last year.

Advisers: RDJ Corporate Partner Diarmaid Gavin advised on the transaction supported by Eoghan Doolan (Corporate), Mark Ludlow (Tax), John Dwyer (Real Estate) and Martin O’Callaghan (Real Estate).

Hines Associates (“Hines”) advised the shareholders of O’Leary Insurances.

Renatus Comment: The local insurance broker sector has been one of the most active in terms of M&A in the past couple of years. The sector was historically fragmented but is now moving toward a more consolidated market as a result of a number of companies pursuing acquisitive growth strategies.

Source:  RDJ, Irish Times

Deal Details: Dublin-based investment group Appian Asset Management has announced it is to be acquired by UK asset manager Gresham House in a deal valued up to €10m.

Appian will receive an initial €4.5m, with further payment subject to certain performance targets being met over the next three years. The deal is subject to approval by the Central Bank of Ireland.

Appian was set up in 2002 by Patrick Lawless and has €330m AUM. It Invests across traditional and alternative asset classes including equities, property, infrastructure, and forestry.

London-listed Gresham House has more than £3.3bn (€3.6bn) in assets under management.

Advisers: None Mentioned

Renatus Comment: Consolidation in the Irish wealth management and asset management sector has sped up in recent months due to the spike in compliance and regulatory costs. The deal will allow Appian to offer its clients a wider list of investment products enhancing client satisfaction.

Source:  Irish Times

Deal Details: Derry-based tech company Learning Pool has announced its acquisition of Denver-based Remote Learner. The financial consideration and terms of the deal were not disclosed.  This is their 4th acquisition in recent years.

Learning Pool is the world’s largest open-source learning management system (LMS) provider for workplace learning. It has 800 customers worldwide and 3.5m active learners.

In the summer Learning Pool announced a 32% rise in revenues to £18.1m in the year ending April 30th 2020. Some of its clients include Boots, The FA, RBS, Jurys Inn.

US-based Remote Learner is a specialist in learning management systems (LMS). Some of its clients include the Royal Caribbean and Ultimate Kronos groups.

Advisers: Beltrae Partners Limited advised Learning Pool on this transaction.

Renatus Comment: Global e-learning companies have been one of the very few net beneficiaries of the covid-19 pandemic. Covid-19 has accelerated the pace at which businesses and educational institutions are adopting these technological solutions. These e-learning companies offer an increasingly popular lower-cost alternative to traditional training which makes them highly disruptive in the education and corporate training industry.

Source: Irish News

Deal Details: Eakin Healthcare Group has acquired Armstrong Medical as part of the group’s plans to expand into a new therapeutic area. The financial consideration was not disclosed.  There will be no change to company names or brands.

Coleraine-based Armstrong Medical, founded in 1984 by John Armstrong MBE, is a manufacturer of high-quality innovative products for use in anaesthesia, respiratory and critical care. In its financial year to May 2019, Armstrong Medical Ltd recorded revenue of c. €14.0m and EBITDA of c. €2.7m. Prior to the transaction, the business was predominantly owned by a number of Armstrong family members and others including John, Ingrid, Ross and Nigel Armstrong.

Armstrong employs over 200 staff and exports to more than 60 markets.

The Eakin Healthcare Group, one of Northern Ireland’s most successful healthcare businesses, was formed in 1974 by Tom Eakin, a pharmacist in Dundonald, just outside Belfast.  It exports to over 30 countries through a network of 40 distributors.

This deal is part of the group’s diversification  strategy. This deal expands the groups product offering from ostomy and wound care to now incorporate anaesthesia, respiratory and critical care products.

Advisers:  KPMG provided financial, strategy and tax advice on this transaction.

An EY team lead by Associate Partner Johnny Forde advised Armstrong Medical.

Renatus Comment: Expect to see plenty more deals from NI over coming months as people rush to get ahead of expected increased CGT rates in March

Source: Eakin Press Release