New Future for European Directories
Today’s announcement means that DTG is in a strong position to move forward. The agreement will put an end to the uncertainty at our parent company, European Directories, and means that we are ready to respond to the challenges of a rapidly changing market.
We are confident in our future as a leading player in local search and lead generation in the Netherlands
European Directories, the owner of DTG (former De Telefoongids) is today announcing that a new capital and ownership structure for the business has been agreed upon with Triton, a private equity company based in Finland.
The key points of the agreement are:
- Triton will contribute €15m of new equity and increase its ownership of European Directories to 50.1%
- The remaining 49.9% equity will be split pro-rata amongst other Senior Operating Company lenders
- Leverage is reduced from €893m to €262m; total leverage/EBITDA is reduced from 9.6x to 2.8x
- A clear ownership structure that will support stronger strategic leadership
The agreement is supported by 100 per cent of the senior lenders to European Directories and follows a plan that was put forward by the Triton funds and the ad-hoc group (consisting of selected lenders) in the summer. European Directories will now benefit from a clear ownership structure with the Triton funds as the majority investor. Triton has an established record of working with management teams to improve the performance of under-performing businesses. Examples include: Bravida, the Sweden-based installation services provider that was sold in 2012; and Dematic, a Germany-based supplier of materials handling solutions.
Paul Walker, the outgoing Chairman of European Directories, said:
“Today’s announcement concludes a period of uncertainty for European Directories. Although the business still faces a challenging future, the fact that we have secured an appropriate capital structure and clear governance for the business means that the company can move forward. We can with confidence address the operational opportunities and challenges the business faces.
I am reassured that the company will benefit from Triton’s experience in managing complex situations and businesses. I am pleased that Triton and the other lenders were able to agree on a fully consensual solution.”
Erik Hoekstra, CEO of DTG, said:
“Today’s announcement means that DTG is in a strong position to move forward. The agreement will put an end to the uncertainty at our parent company, European Directories, and means that we are ready to respond to the challenges of a rapidly changing market.
We are confident in our future as a leading player in local search and lead generation in the Netherlands.”
DTG is een innovatief Nederlands bedrijf dat online marketing services biedt voor ondernemers. DTG richt zich op actieve ondernemers, die weinig tijd en online kennis hebben, ontzorgd willen worden en zaken willen doen met een one-stop-shop. Met onze kennis van de markt helpen wij ondernemers zich online te presenteren en sneller gevonden te worden door klanten. DTG is een handelsnaam van De Telefoongids BV en is gevestigd in Amsterdam, Eindhoven en Zwolle.