NVM Private Equity has announced that following听musicMagpie鈥檚听successful admission to AIM this morning the partial exit by its funds has generated proceeds and retained value at the IPO price of 拢72.5m 鈥� which represents a 12.1x return against the cost of the original investment.听
The funds retain a 16.1 per cent holding in the newly listed business,听musicMagpie听plc, which has a market capitalisation of 拢208m at IPO, with NVM鈥檚 funds鈥� retained shareholding worth 拢33.4m.听
musicMagpie听is a leader in re-commerce in the UK and US in the circular economy of consumer technology, including smartphones, tablets, consoles, personal computers, CDs, DVDs and video games.听
The company, which is based in Stockport and founded in 2007 by Steve Oliver and Walter Gleeson, has an established presence in the UK and in the US.听
/kennet-partners-sells-stake-in-digital-bookkeeping-firm-dext/
Operating through two brands –听musicMagpie听in the UK and听Decluttr听in the US – the Group’s core business model is to provide consumers with a smart, trusted and sustainable way to buy, rent and sell refurbished consumer technology and physical media products.听
NVM first backed听musicMagpie听in 2015, providing 拢6m of development capital in a transaction led by Andy Leach, who then joined the board and has remained as a director through to the company鈥檚 admission to AIM.听
Steve Oliver, CEO of听musicMagpie听plc, said: 鈥淲e are thrilled to have created such an exceptional result for NVM, who have been such a fantastic supporter and partner of the business since their investment in 2015. We have very much enjoyed working with them and we look forward to continuing our relationship with them as our largest individual institutional shareholder.鈥�听
/3m-seed-for-start-up-aiming-to-usurp-excel-as-spreadsheet-king/
Andy Leach, partner at NVM, said: 鈥淲e are delighted for the team at听musicMagpie听which under Steve and Walt鈥檚 leadership, following its admission to AIM today, has reached a key milestone in the company鈥檚 history.听
鈥渕usicMagpie鈥檚听re-commerce model has always been ahead of the curve and, with the current focus on the circular economy, has been acknowledged as a key player in the drive for more sustainable consumer and business behaviour.听
鈥淭he business has evolved significantly over these past five years and is well positioned to continue its growth in the future. I am personally very proud of everything that the business has achieved through this period and look forward to watching their progress over the coming months and years.鈥�听
Today鈥檚 partial exit is NVM鈥檚 third successful exit announcement in less than six months following the exit of It鈥檚 All Good in December 2020 and the 8.4x return generated from the sale of Agilitas in November 2020.听