Eurazeo scores 3.1x return with remaining Trader Interactive stake exit at $1.9bn valuation

Eurazeo has scored a 3.1x return exiting its remaining 51% stake in branded marketplace platform Trader Interactive to Australian online automotive advertising platform carsales at a $1.9bn valuation.

The sale represents pre-tax proceeds of $238m for Eurazeo.

The firm scored a 2.8x return last year selling its 49% stake to Carsales.

Trader Interactive provides digital marketing and services across commercial trucks, recreational vehicles, power sports and equipment industries.

Virginia-based Trader Interactive was the first investment made by Eurazeo’s mid-large buyout team in the US in June 2017.

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Marc Frappier, member of the executive board, managing partner, mid-large buyout, said, “Over the last five years, Eurazeo has supported Trader Interactive in its journey to become a leading platform of branded marketplaces in the United States. This investment exemplifies our strategy to select and support market leaders across attractive industries supported by strong fundamentals and clear growth drivers.”

Vivianne Akriche, managing director, mid-large buyout, added,
“We are proud to have worked with the team at Trader over the last five years. This partnership with carsales will allow Trader to continue in its journey to cement its position as a leader with global ambitions. We also want to thank our partners at Goldman Sachs Asset Management for their strong partnership and support for the company.”

European investment major Eurazeo agreed to sell its stake in integrated payment system Planet last year at a €1.8bn enterprise value. The deal will generate a 2.5x return and about 19% IRR since its acquisition in 2015.

On the fundraising side, the firm raised €200m last month, more than half of the target fund size, for its Sustainable Maritime Infrastructure Fund.

It received a cornerstone investment of €70m from the European Investment Fund.

The firm also launched a €300m fundraise targeting decarbonisation of maritime economy last year. Its subsidiary Idinvest also stuck a €80m initial close for its second smart city investment fund.

Source: Alt Assets