CVC Capital Partners Ltd., one of Europes largest private-equity firms, agreed to buy a majority stake in British online payment company Skrill Group Plc from Investcorp Bank BSC in a deal worth $800 million.
Investcorp, the Bahrain-based investment firm with about $10.5 billion in assets, will retain a substantial minority position in the company and continue to hold a seat on board, it said in an e-mailed statement today.
Investcorp bought London-based Skrill for 105 million euros ($139 million) in 2007 and expanded the business with the purchase of paysafecard.com Wertkarten AG, an Austrian provider of prepaid vouchers that enable consumers to shop online, for about 140 million euros in 2012.
CVC is also in talks to buy the European business of Campbell Soup Co. and agreed to buy Domestic & General Group Ltd., a U.K. home-appliance warranty provider, from Advent International Corp. The firm is paying 750 million pounds ($1.2 billion) for Domestic & General, two people with knowledge of the transaction said Aug. 13, asking not to be identified because the information is private.
Skrill employs about 700 people and generated over 200 million euros in sales last year, according to the statement.
Private-equity firms typically pool money from pension plans and endowments with a mandate to buy companies within five to six years, then sell them and return the money and a profit after 10 years. The firms usually charge a management fee of as much as 2 percent and keep 20 percent of the profits from investments.