Together with management we successfully completed two strategic add-on acquisitions (one based in Taiwan and one in Australia), expanding PGG’s global footprint and brand offering. The profitability of the company was improved based on a common understanding on the importance of pushing of their own brand, which resulted in a successful increase of its revenue mix from high-margin own brands and exclusives by over 50%.
"The way the Rivean team builds up an understanding of an industry is quite different from everything that is out there. And they challenged us in the right way. I think, overall, that really made a big difference for our success, and I am very grateful."
The Rivean team developed a very strong rapport in the initial phase of the sales process with management, which had been highly successful to date and was motivated to continue their success story.
The key attraction for the investment was strong underlying market growth in PGG’s markets, driven by performance improvements, higher graphic resolution demands and virtual reality. Further upside was identified in the company’s smart B2B/B2C distribution allowing for extension of PGG’s product offering to customers not reached through their own online shops and that the company would be a strong platform for add-on acquisitions to leverage scale in procurement and provide an enlarged distribution channel.
By institutionalizing corporate functions, the company could be strengthened for efficient post-merger integrations to enable PGG to expand geographical reach. Last, plans to develop PGG’s own brands to increase brand awareness and exclusivity of the product offering were created.