Alantra advises listed Danish GN on the sale of AudiçãoActiva to MCH Private Equity

Jun 2023

Sell-side advisory

Madrid – Alantra has advised listed Danish GN (“The Company”) on the sale of BelAudição, Unipessoal Lda (“AudiçãoActiva”) to MCH Private Equity. BelAudição is the owner of the leading retailer of hearing aid solutions in Portugal, AudiçãoActiva, with around 50 hearing aid stores and 2022 revenues of c.€35 million and topline growth of 24%.

Founded in 1869, GN is a leading Danish manufacturer of high-quality hearing aids, audio, video, and gaming equipment. GN markets their solutions with the brands Jabra, ReSound, Beltone, Interton, BlueParrott or Danavox in 100 countries. The Company employs over 7,500 people and is listed on Nasdaq Copenhagen (GN.CO) with a market cap of over €3bn.

MCH Private Equity is an independent private equity firm based on the Iberian Peninsula with a focus on investing in companies with high potential in attractive sectors. MCH’s mission is to support mid-sized businesses in transformation processes, ranging from the transition of ownership in family-owned companies to the internationalization and development of organic and inorganic growth plans.

The transaction demonstrates GN Hearing’s commitment to its strategy of focusing on being a key supplier to strong independent hearing aid dispensers. GN finalized the acquisition of AudiçãoActiva – a long-time GN Hearing customer – in 2022 to facilitate a generational transition. GN Hearing has, therefore, carefully considered potential buyers to back the next phase of AudiçãoActiva’s growth journey while securing that GN Hearing remains a key supplier of hearing aids to the business.

Gitte Aabo, CEO of GN Hearing, stated: “We continue to be fully committed to BelAudição and hearing aid users across Portugal as a key supplier of leading hearing aid technology. Together with MCH Private Equity’s local presence and expertise, BelAudição now has strong backing to execute their ambitious growth plans to the benefit of all parties. Furthermore, this divestment is also an important step in executing GN’s new capital plan to strengthen the capital structure and continue to drive growth and innovation.”

Iñigo Mateache, Partner at Alantra, added: “We are pleased to have helped GN find the right partner for the next phase of AudiçãoActiva ‘s impressive growth journey, while ensuring that GN Hearing remains a key supplier of hearing aids to AudiçãoActiva. This transaction further demonstrates Alantra’s capability to execute complex deals involving the sale of a foreign subsidiary from a listed client in a cross-border transaction to a Private Equity.”

The transaction represents an important milestone in the newly announced capital plan to strengthen GN’s capital structure where proceeds from selected asset disposals amount to DKK 1-2 billion. The divestment of BelAudição will contribute DKK ~500 million of that target. The transaction is expected to close in Q3 2023 subject to MCH Private Equity completing financing and obtaining anti-trust clearance.