Electra Partners sells Vidal Group to M3 Inc

Electra Partners’ portfolio company AXIO Group has received a binding offer from M3 Inc. to purchase Vidal Group, a European provider of reference drug information for healthcare professionals, for €100m.

The proposed transaction, which remains subject to certain conditions, would be the fourth major realisation from AXIO's portfolio.

At today’s exchange rates, Electra would receive proceeds of £55m from AXIO, which is an uplift of £17m on the valuation of its investment at the end of March and equivalent in its net asset value of 35p per share.

Electra said the sale would increase the total cash proceeds received from its investment in AXIO to almost £250m, or 2.8x original cost, and the total return, including Electra's investment in the remaining AXIO businesses, to 4x original cost.

Alex Cooper-Evans, partner at Electra Partners, said: "The proposed sale of Vidal is another example of the successful implementation of our strategy for AXIO. We started in 2013 with a complex portfolio of disparate assets which we have transformed by putting in place the right long-term strategy and delivering with operational improvement, growth investment and M&A. This transformation has resulted in AXIO's businesses becoming highly attractive to strategic buyers.”