Consumer products

The consumer products market includes a wide range of products, from home furnishings and electronics to personal and household products. Private equity invests in brands and businesses that have the ability to internationalise their offerings - brands that appeal to people in different geographic territories while retaining a consistent image or purpose that ensures continued success.

In 1999 IK Investment Partners acquired Oriflame, a global direct sales cosmetics company. The Swedish business had operations in more than 50 countries. During IK’s investment period, it continued its geographic expansion into Eastern Europe, Latin America, India and other countries.

Gardena, the German based manufacturer of gardening equipment, was acquired by a private equity fund in 2002. Under private equity ownership, the company successfully re-focused on its core ‘Gardena’ brand, spun off other businesses, continued its international expansion and extended its product portfolio.

When EQT acquired the Swedish based Thule Group, a manufacturer of rooftop boxes and snow chains for cars, in 1999, the business had EBITDA of €19 million. During EQT’s ownership three new factories were built, the product range was broadened and two acquisitions were made. When EQT exited the business in 2004, EBITDA had increased to €42 million.