11. júna 2014

Genesis Capital invests in Slovak company 3070

Genesis Capital, a key player in private equity in the Czech Republic and Slovakia has invested in 3070 Group, a. s. An investment realised through GPEF II fund will strengthen further development of this prospective company dealing with complex solutions in design consultancy and manufacturing of shopper marketing solutions across Europe. For Genesis Capital this marks already fifth investment in Slovakia.

„3070 has caught our attention not only with its exceeding success, but foremost with further prospective business plans, especially abroad,“Jan Tauber, Managing Partner of Genesis Capital, explains key reasons for investment in Slovak company, and expects it will mark yet another successful decision in now almost fully invested GPEF II fund.

3070 was founded in 2009 with its headquarters in Bratislava and further operates from its representation offices in Wien, Frankfurt, Munich and Zagreb. Manufacturing is covered by combination of small producing plants both home and abroad. International offices and producing plants allow 3070 to stay competitive abroad and remain number one choice for its key clients comprised from multinational brands such as Sony, Samsung, Canon, Bosch, Siemens, Haier, AEG or Electrolux. Using the top of the line technology and knowhow, 3070 covers all development and implementation aspects of a successful retail campaign. Design, manufacture, interactive development, project management and logistics are combined to enable meaningful, engaging conversations between brands and clients, yielding solutions ranging from retail interiors, trade fairs and roadshows to digitally enabled showrooms.

Branislav Polák, CEO and shareholder of the company, explains 3070’s further plans: “Already 3070 is successfully established in Germany, Austria, Balkan and Scandinavian countries. However, we seek further expansion in more European markets in the next five years. In midterm we would strive to establish ourselves in Middle East and rapidly growing Asia. Further, our plan is to diversify from our initial focus on consumer electronics and telecommunications, and tackle financial services, fashion and automobile markets. Partnership with Genesis Capital will allow us to better pursue these goals, by providing us with solid base.”

Genesis Capital values current management of 3070 utmost highly, perceives the team as key part of its investment and wishes to maintain the quality, experience and success record by leaving it intact.

Through this investment Genesis Capital largely replaces the former angel investor and acquires 51% share of the company, the remaining shares remain distributed between key members of the management. With regards to the potential of the company it was not difficult to find financing bank, Česká spořitelna,which has played an important role in the process of the entire transaction. “We co-operate with Genesis Capital in the long term and value GPEF II fund as a strategic partner of Česká spořitelna. We have historically been involved in numerous transactions of the fund and in majority of them the team from Genesis Capital had understood the potential growth of the value of investment very well. We believe that the investment in Slovak company 3070 will be equally successful. Transaction was in itself very interesting in terms of its structure, but also its international character, where we were faced with challenge of merging Czech and Slovak law in the documentation,” Martin Viliš, Director, Acquisition & Leveraged Finance for Česká spořitelna, stated.

The advisors for the transaction were on behalf of 3070, Slovak law firm Maple & Fish and on behalf of Genesis Capital, Norton Rose Fulbright with Havel, Holásek & Partners together with their Slovak (Beatow Partners), Croatian and German partners. Financial and tax analysis was provided by Ernst and Young.

During the course of its existence, Genesis Capital invested in the Slovak republic several times. Already in year 1999 Genesis Capital became investor of transport and logistics company Lindberg. A year later Genesis Capital acquired shares in Slovanet, company dealing with telecommunications and IT services. In 2006 ETARGET, a pioneer in domestic Internet advertisement was partially acquired by Genesis Capital. All of these companies were later successfully sold. Today, through GPEF II fund, Genesis Capital owns shares of Slovak company Brloh, an additional acquisition to initial investment in the JRC Czech, company operating in the market of PC and video games as well as gaming consoles retail.


About 3070 Group, a.s.

3070 is serving several market leaders in both consumer electronics and telco segments in top EU markets (primarily Germany, Austria, Nordics). 3070 covers all development and implementation aspects of a successful retail communication campaign. Through design, manufacture, interactive development, project management and logistics, meaningful, engaging conversations between brands and clients, 3070 yields solutions for its clients throughout the entire campaign process, from ideation to installation.

About Genesis Capital s. r. o.

Genesis Capital offers financing for development and growth of small and middle-sized companies in the Czech Republic and Slovakia. Through private equity funds it operates, Genesis Capital has supported more than 30 companies, many of which have thanks to this partnership became the top in their respective field. Genesis Capital secured more than 2 billion CZK for development of Czech and Slovak companies to date. Currently it holds shares of Profimedia CZ, Servodata, VYDIS, KS Klima-Service, JRC Czech, HSW Signall, AZ KLIMA, GTH catering, Roltechnik and Sieza.

Since it has been founded in 1999, Genesis Capital managed three private equity funds, operating with nearly 100 million EUR. Two of which have already fully invested, with the youngest, Genesis Private Equity Fund II, operating now with 40 million EUR.