Superglass IPO provides exit for NBGI

Scottish insulation manufacturer Superglass has floated on the main market of the London Stock Exchange.

The initial public offering (IPO), which values the company at £105 million, allows NBGI Private Equity to realise a return of 10.7 times its investment in the company.

Superglass was bought out by its management in August 2005 for £40 million, with NBGI taking a 50.9 per cent stake in the company in return for its backing. Following the IPO, the internal rate of return for NBGI is 244 per cent.

Investec Private Bank, which specialises in growth and acquisition finance, also backed the buy-out in 2005. It says it has realised a return of 17.5 per cent on its loan.

The floated company is the UK’s second largest manufacturer of glass wool insulation. Over the two years since the buy-out it has expanded its production capacity by 50 per cent, and increased its workforce by ten per cent.

Launched in 2000, NBGI Private Equity focuses on established businesses in the UK or Ireland. It typically provides equity funding for buy-outs, with a minimum investment of £2 million.

Marc Barber

Marc Barber

Marc was editor of GrowthBusiness from 2006 to 2010. He specialised in writing about entrepreneurs, private equity and venture capital, mid-market M&A, small caps and high-growth businesses.

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