MANX TELECOM went public

Private equity firm HgCapital, in close coordination with joint venture partner CPS Partners, has successfully executed the full exit of its investment in Manx Telecom through an initial public offering (IPO). Fully underwritten, the public listing transaction will result in the official admission and trading of the company's shares on London’s Alternative Investment Market (AIM). This public market realization concludes a successful three-and-a-half-year holding period for HgCapital's clients (including the listed HgCapital Trust plc) and represents the fifth exit from the 2009-vintage HgCapital 6 Fund. The IPO successfully validates the execution of the original investment thesis driven by the financial sponsors. Throughout their ownership, the backing partners implemented a comprehensive corporate transformation, initially building a top-tier management team before driving accelerated organic revenue growth via high-quality, attractively priced customer packages and instituting rigorous cost-control initiatives. This disciplined operational strategy enhanced profit growth and maintained a highly cash-generative profile, which facilitated a successful leveraged recapitalization of the business in March 2013. As a newly public company, Manx Telecom is strategically positioned to efficiently capture expanding off-island digital opportunities, particularly in high-end data center provision.

It is worth noting that the fund Hg Capital took control of Manx Telecom through an LBO in 2010.