Genesis Capital Acquired a Majority Stake in KS Klima-Service a.s.

12.12.2012
GPEF II

Genesis Capital, one of the largest private equity fund managers in the Czech Republic, expanded its investment portfolio with another acquisition. Through its GPEF II fund, it acquired a majority interest in the Dobříš-based KS Klima-Service a.s., a market leader on the Czech market in manufacturing and development of air filters and filtering equipment.

“KS Klima-Service is a well-established company with a stable market position, good financial situation, and thanks to its focus on various areas of industry, it has natural potential for further production and business growth in the Czech Republic and beyond. We expect an increase in exports, primarily to the Slovak and German markets. The growth can be further supported by additional add-on acquisitions,“ explained Jan Tauber, Managing Partner of Genesis Capital.

GPEF II acquired a majority in KS Klima-Service by buying out the ownership interests of the founders and owners Liana Besedová and Jiří Beseda. Jiří Beseda will retain a 20% stake and will move from the position of the Chairman of the Board to the Supervisory Board. The management leadership and the position of the Chairman of the Board will be handed over to the current Managing Director, Petr Hrubý, who has been with the Company for 16 years. He is also becoming a minority shareholder in the Company.

“We founded KS Klima-Service nearly twenty years ago and gradually, thanks to our hard work, we managed to become the leader in the Czech Republic in the development and production of air filters and filtering equipment. Now the time has come for us to take advantage of the opportunities for the future development of the Company arising from our partnership with the GPEF II fund. Nothing changes for our customers and suppliers – we remain a stable and trustworthy partner on whom they can always rely,” added the Company’s founder and newly a member of its Supervisory Board, Jiří Beseda.

KS Klima-Service produces and supplies a comprehensive portfolio of products for capturing atmospheric dust and gaseous pollutants – in filtering media, pocket and frame filters for ventilation and air-conditioning equipment, and highly effective filters made of special glass and synthetic microfibers (HEPA and ULPA filters) used in medicine, pharmacology, micro-technology and nuclear technology. This year, the Company launched new adsorption filters with fine pre-filtration of dust to eliminate a broad range of odours and pollutants.

About KS Klima-Service a. s.

The history of KS Klima-Service, a.s. dates back to 1993, when Jiří Beseda, as a self-employed entrepreneur in Dobříš, established the company Ing. Jiří Beseda - KS Klima-Service. The company became an exclusive representative of the German company KS Klima Service GmbH and began importing air filters to the Czech and Slovak markets.

The Company launched its own production in 1995 and obtained its first major contracts, for example, from Škoda Auto and Prague Airport. In the last ten years, the Company’s revenues have risen by 80 percent and the Company has made a major investment into new technologies that will help it make filters and components of a European standard and superior quality.

KS Klima-Service air filters and adsorption filtering systems have become the market standard due to their great utility, and currently, KS Klima-Service a.s. is one of the largest producers and suppliers of this product range in the country. Its major customers include facility management companies, and enterprises from the automotive segment, civil engineering, ventilation, as well as industrial companies from various fields. The products are also exported to Slovakia, Germany, Romania, and Hungary. This year, KS Klima-Service a.s. will generate revenue of CZK 140 million.

About Genesis Capital

Genesis Capital offers small and midsize companies in the Czech Republic and Slovakia financing for their growth and development. Through the private equity funds it manages, it has already supported more than twenty businesses, many of which have become cutting edge in their chosen field, thanks to their cooperation with Genesis Capital. In total, Genesis Capital has provided more than two billion Czech crowns of growth capital for companies in the Czech Republic and Slovakia.

Since its establishment in 1999, Genesis Capital has managed three private equity funds with a total volume of almost €100 million. The first two funds have already fully committed their capital to Czech and Slovak companies. At present, the youngest fund, the Genesis Private Equity Fund II, with a volume of €40 million, is open and available to finance prospective investments.

Selected companies into which Genesis Capital has invested: Profimedia, Vydis Group, Game Czech, Servodata, pietro filipi, Gumotex, AB Facility, and Energetické strojírny Brno.

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