cedarbridge partners - capital for exceptional growth...cedarbridge partners invests in solid and...
TRANSCRIPT
CedarBridge Partners
2019
Corporate Presentation
2
CedarBridge Partners - Overview
Who We Are
Investment Vehicles
CedarBridge Partners invests in solid and promising companies and management teams. We partner with and support
our portfolio companies both financially and operationally to achieve exceptional growth
CedarBridge High Growth 1
Invested $1 to $10mn in operating
companies in MENA that combine both
growth and cash flow generation
CedarBridge High Growth 2
Currently investing $2 to $20mn per
transaction in Education, Healthcare,
and Retail Services
Co-investment Vehicles
Customized and flexible co-investment
vehicles for our investors and partners to
invest in selected opportunities
alongside CedarBridge
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Sector Focus with Strong Industry Expertise
Education Healthcare
Areas of
Investment
Investee
Companies
Retail and Consumer
K-12 Schools
Training Academies
Nurseries
Universities & Colleges
Test Centers
Content Development
(mainly Digital)
Clinics
Cosmetic Centers
Laboratory Chains
Pharma Distributors
Equipment Maintenance
Day Surgery Centers
Radiology Centers
Coffee Shops
Beauty Salons
Restaurants
Spas
Sports Shops
Cosmetics
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Geographical Focus
Kenya
Morocco
Egypt
Tunisia
United
Kingdom
Oman
Saudi Arabia
Kuwait
Qatar
Turkey
Cyprus
Lebanon
UAE
Invested Very Familiar
CedarBridge team has demonstrated a hands-on ability to grow businesses across the GCC, United Kingdom, Egypt,
Cyprus and the Levant while having significant investment knowledge of Turkey, East Africa, Morocco and Tunisia
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Investment Style
Operationally Savvy &
Resourceful
Deep Sector Knowledge
Operational Expertise
Seasoned Investment Team &
Advisory Board
Proprietary Deal Flow
Deep Networks in Focus Sectors
Access to Proprietary Deals
Innovative and Independent
Thinkers
Strict Investment Discipline
Best Global Practices
Well-versed with MENA region
Focus on Returns, not Size
Focus on Investor Returns
Long-term Buy and Build Strategy
for small, promising companies
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Three-pronged Unique Strategy
Buy solid businesses
at reasonable multiples
Expand business lines or
geographic footprint while
controlling cost and capital
expenditure
Maintain positive operating
cash flow from the
businesses
Distributions in the short-term and Capital gains in the long-term
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Core Strengths
>12 years
of Managing Directors working
together
20+ deals done
>$1bn of cumulative AUM in
prior experience
45+ years cumulative experience
in investing
Private Equity and Venture Capital
SME / Entrepreneurial
IT
Consulting
Industrial
Multinationals
Family Businesses
Well-rounded,
Experienced Team
Three Managing Directors
covering all aspects of the deal
Sourcing
Due diligence
Closure
Post-acquisition monitoring
Value creation
Flat Structure
Managing Directors with
experience in multiple geographies
particularly in Europe and MENA
International
Expertise
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Experienced Leadership Team with an Impeccable Track Record
(1/3)
A well recognized regional Private Equity investor, Imad Ghandour, co-founded CedarBridge Partners. He is also a member of its
Investment Committee
Mr. Ghandour is a board member of the MENA Private Equity Association (MPEA). He is also the Editor-in-chief of MPEA’s
Annual Report since 2006
Mr. Ghandour represents CedarBridge in Advanced Laboratory Services (now exited), a leading provider of isometric medical
testing in Saudi Arabia; CIRA, the largest education company in Egypt, and Kids First Group, the largest chain of nurseries in
GCC. He co-leads all transactions, and continues to monitor investments. He also leads the acquisition program of Kids First
Group which has closed 5 acquisitions to date
Prior to CedarBridge, Mr. Ghandour was an Executive Director- Private Equity at Gulf Capital based in the UAE. Prior to Gulf
Capital, he was an Independent Consultant for 12 years, working with several regional and international organizations on
investment and market research assignments
He has successfully invested over $220mn throughout the MENA region in strategic sectors including Healthcare, Education,
and Utilities
Mr. Ghandour also holds directorships in Ma’arif Education and Training Holding; Metito Holding Ltd; and TechnoScan
Investment Holding
Graduated in Computer Engineering from American University of Beirut, Mr. Ghandour holds an MBA from University of
Wisconsin. He was also awarded with the prestigious Private Equity Man of the Year Merit Award in 2011
Imad Ghandour Co-Founder & Managing Director
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Experienced Leadership Team with an Impeccable Track Record
(2/3)
Magellan Makhlouf is a seasoned Business and Private Equity leader. His international experience has developed through
multiple postings, board positions and leadership roles, across numerous industries
Prior to CedarBridge Partners, Mr. Makhlouf was the MD, Private Equity at Gulf Capital based in the UAE
Mr. Makhlouf’s extensive Board experience includes Ma’arif Education and Training Holding; Metito Holding Ltd; Gulf Marine
Services; and Techno Group
Prior to working in the UAE, Mr. Makhlouf worked for Johnson Controls in Brussels, Belgium for 5 years, most recently as
Director of Marketing, Service and Solutions - EMEA
Prior to Johnson Controls, Mr. Makhlouf was at General Electric (GE) for 8 years in various business units and leadership roles
in North America and Europe. During his stint at GE, and in addition to his business roles, he also won numerous management
leadership awards and taught GE’s Executive Training Program
Graduated with a BSBA from the University of Windsor in Ontario, Canada from GE’s Executive Financial Management Program,
Mr. Makhlouf is also a certified six-sigma black belt
Magellan Makhlouf Co-Founder & Managing Director
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Experienced Leadership Team with an Impeccable Track Record
(3/3)
Prior to joining CedarBridge Partners, Mohamed Sharara served as Managing Director-Investments at the Bahamdan Group
Mr. Sharara served on the senior management committee and as board director and executive committee member for a number
of companies, including Tas’helat, Sahl Retail, Sahl Transport and Sara Business Solutions, and closely advised on Aluminum
Products Company, Health Water Bottling, Farabi Petrochemicals and the Economic Cities of Saudi Arabia
Prior to Bahamdan Group, Mr. Sharara served as an Executive Director - Private Equity at Gulf Capital in the UAE for 5 years,
focusing on proprietary sourcing, origination and execution of Private Equity transactions, with particular emphasis on F&B
industrial and retail, as well as on fund raising and investor relations
Before moving to the UAE, Mr. Sharara was Vice President at JPMorgan Investment Banking M&A as well as in Wealth
Management, based out of London and Geneva offices. He was a member of the JPMorgan team advising Saudi Aramco on the
Natural Gas Initiative
Previously, Mr. Sharara was based in the United States (Boston and Washington DC) with the BV Group (Safanad) where he
assessed and closed VC transactions in the US and led work on international business development
Mr. Sharara holds a Bachelor of Science and a Master of Science in Manufacturing Engineering with a Concentration in
Operations Management from Boston University where he graduated Summa Cum Laude, and an MBA from INSEAD
Mohamed Sharara Managing Director
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Recognized Thought Leaders in Private Equity
The firm was currently
positive on businesses
correlated to government
budget spending, which
included infrastructure,
education and healthcare,
said Magellan Makhlouf
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Financial & Operating Advisory Board F
ina
nc
ial A
dvis
ory
Bo
ard
O
pe
rati
ng
Ad
vis
ory
Bo
ard
Founder, Z Capital
and Black Diamond Capital, USA
James Zenni
Founding Partner
Vision Brazil Investments, Brazil
Amaury Junior
Managing Director
Primavera Capital, China
David Lin
Ex-CEO, TGI Fridays, USA
Wallace Doolin
CB MA D.Ed FRSA, UK
Ralph Tabberer
Founder mHealth Company, Saudi
Arabia
Dr. Hamad Al-Omar
Chief Executive Officer, Al Meera,
Qatar
Guy Sauvage
Founder Mars Media Services, Ex
COO Starcom Mediavest Europe,
UAE
Tarek Antrazi
CEO, Agility MENA, Saudi Arabia
Elias Monem
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Past Investments
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Past Investments
The Company
CedarBridge co-founded KFG in
2011 along with Kamil Najjar who
served as the CEO
KFG has grown into a regional
leader in the early childhood sector,
and one of the largest operators of
nurseries in the MENA region
CIRA is the largest operator of K-12
schools in Egypt with 21 operating
schools all around Egypt and
17,000 enrolled students
CIRA also owns and operates Badr
University in Cairo
ALS is the leader in Saudi Arabia in
advanced medical diagnostic, with
70% market share and offices in
Riyadh, Jeddah and Dammam
Investment Terms
Owned a large minority of KFG
Representation on the Board of
Directors and Executive Committee
In 2012, CedarBridge invested into
a minority equity stake in a
coordinated effort with the IFC
Representation on the Board of
Directors
In 2011, CedarBridge acquired 51%
of ALS
Returns Summary
MoM of 6.5x Invested Capital
IRR on Exit: 36%
Exit in July 2018
IRR on Exit: 28% in US
Dollars; 46% in Egyptian
Pounds
Exit in 2015
IRR on Exit: 35%
Exit in December 2012
Kids First Group
(KFG) – UAE &
Qatar
Cairo For
Investment &
Real Estate
(CIRA) - Egypt
Advanced
Laboratory
Services (ALS)-
Saudi Arabia
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Current Investments
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I. Education
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Eton Institute - UAE
Established in 2006 and headquartered in Dubai Knowledge Village,
Eton Institute provides languages and professional skill solutions in the
UAE
Eton operates out of two locations in Dubai and Abu Dhabi where it
offers a set of learning programs for various age groups and
professions including individuals, government entities and corporates
Eton Institute is accredited by EAQUALS (the evaluation and
accreditation of quality in language services)
% Acquired: 100%
Year of Investment: June 2018
Investment Strategy: Working closely with the management team to
grow the business
About the Company Investment Terms
18
SAE Institute - UAE
% Acquired: 100%
Year of Investment: 76% in H2 2015 and 100% acquisition in
2017
Investment Strategy: Supporting management in expanding SAE
business and operation
SAE Dubai was founded in 2005 as a branch campus of the
world's largest media education provider SAE Institute ($130+mn
revenues, 58 institutes in 27 countries, part of Navitas Group)
SAE has a unique offering with no direct competitor in the UAE;
offers bachelor degrees in film, audio, gaming, multimedia, and
animation, in addition to short-term courses under the same topics
SAE degree graduates receive accredited Australian degrees
About the Company Investment Terms
19
II. Retail and Consumer
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Costa Coffee - Cyprus
Costa Coffee, founded by Sergio and Bruno Costa, in 1971 in London,
UK, offers handmade Italian coffee to customers
Costa Coffee is recognized as a leading coffee brand and has developed
a strong footprint in Europe and internationally
Established in 2004 with its first store in Nicosia (2005), Symeonides
Coffee Cyprus Limited (Costa Coffee Cyprus), is the sole Costa Coffee
Franchise in Cyprus; currently operates 23 stores on the Island
About the Company
% Acquired: 70%
Year of Investment: 2018
Investment Strategy: Actively supporting the company in its strategic
expansion plans in Cyprus
Investment Terms
21
Sisters Beauty Lounge (SBL) – UAE
Founded in 2004, Sisters Beauty Lounge (SBL) is currently
positioned as a premium female beauty lounge, providing full
range of hair, nail and body treatments
Operates through its 7 owned centres in Dubai and Abu Dhabi
with presence in all the large malls of Dubai including The Dubai
Mall, Mall of the Emirates, and Mirdif City Centre
SBL is considered the second largest chain of female grooming
services in UAE
% Acquired: 100%
Year of Investment: 2015
Investment Strategy: Significant expansion of business in the UAE
About the Company
Investment Terms
22
The Grooming Company (TGC) - UAE
Founded in 2001 in Dubai, The Grooming Company (TGC) is
the parent company of three grooming/beauty brands
The Company started as a nail bar in Jumeirah area called
“N.Bar”, followed by male grooming lounge “1847” in 2004,
and wash and blow dry concept hair care lounge “JetSet” in
2005
% Acquired: 100%
Year of Investment: 2015 acquisition of 51% followed by
the acquisition of the remaining 49% in 2017
Investment Strategy: Actively supporting the company in its
strategic expansion plans both in the UAE and abroad
About the Company
Investment Terms
23
Trevor Sorbie (TSI) – UK
About the Company
Investment Terms
Founded in 1979 Trevor Sorbie International (“TSI”) is
a leading chain of hair salons in the UK that is
continually ranked among the top hair salon brand
TSI operates 6 salons in the UK and one flagship store
in Dubai Mall. In addition, TSI distributes a range of
retail and professional products under the brand name
“Trevor Sorbie”, both in the UK and internationally
% Acquired: 100%
Year of Investment: 2017
Investment Strategy: Actively supporting the company in its
strategic expansion plans both in the UK, UAE and other
international markets
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Stripwax - UK
Founded in 2005 by sisters Danielle and Maria-Louise
Strip owns and operates a chain of 6 beauty salons
mainly focusing on waxing services and laser hair
removal
Strip boasts many celebrities amongst its clients
% Acquired: 100%
Year of Investment: 2018
Investment Strategy: Actively supporting the company
in its expansion plans in the UK
About the Company
Investment Terms
25
Dreamworks Spa (DWS) was established
in 2007 and is the largest chain of
wellness centres in Dubai, operating 22
centres in standalone locations, inside
hotels, and in shopping centres
DWS plans to maintain its leadership in
the wellness sector and to expand its
footprint into more 5 star hotel locations
% Acquired: 100%
Year of Investment: In 2013,
CedarBridge acquired 75% of DWS, and
has since acquired the remaining 25% to
fully own the company
Investment Strategy: Supporting the
company’s expansion in the UAE and into
new attractive services
About the Company
Investment Terms
Dreamworks Spa – UAE
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Zen Yoga (ZY) – UAE
Zen Yoga was founded in 2006 to spread awareness of yoga and its benefits, and is the
first yoga centre in Dubai
Zen Yoga now operates 3 studios and is one of the best known yoga chains in Dubai
It also offers corporate yoga services, yoga excursions, and other yoga teacher training
% Acquired: 100%
Year of Investment: 2014
Investment Strategy: Focused on
enhancing operational efficiency
and expand the network
About the Company
Investment Terms
27
Surge Ventures Inc. (SHEDUL) – UAE
Launched in Dubai in 2015, Surge Ventures Inc. provides cloud
software solutions targeting the Wellness and Beauty industry
Through its main offerings Schedul and Fresha, it provides venue
management software and an integrated booking platform
connecting Spa and Salon businesses with consumers online
The Company has been experiencing fast exponential organic
growth with currently thousands of businesses using its services
globally and millions of online appointment bookings since inception
% Acquired: In 2015, CedarBridge acquired a minority stake in
Surge Ventures and increased its investment in 2016
Year of Investment: 2015 & 2016
Investment Strategy: Support the growth of the Company through
expanding its retail channels in the wellness industry
Investment Terms
About the Company
28
III. Healthcare
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Al Shams Laboratories (Shams) – Egypt
About the Company
Al Shams Laboratories (Shams) was
founded in 2012 by Dr. Ahmed Al
Safi, founder of Al Borg Lab and
other partners
Shams has successfully opened 62
branches throughout Egypt in a short
span of 3 years, making it the second
largest branch network in Egypt
Shams operates 3 highly accredited
central laboratories to service its
network
% Acquired: Minority Stake
Year of Investment: 2015
Investment Strategy: Supporting
the owners in strategic decisions,
international linkages, and financial
organization
Investment Terms
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F O R M O R E I N F O R M A T I O N
I N F O @ C E D A R - B R I D G E . C O M
W W W . C E D A R - B R I D G E . C O M
Founding Member of Member of