Kennet announces sale of goviral to AOL for $96.7 million
Second exit for Kennet’s latest fund in the past three months.
London, 31 January, 2011 - Kennet Partners, a leading international growth equity investor, today announced that goviral, the international online distributor of branded video content, has been acquired by AOL Europe, part of AOL Inc. [NYSE: AOL], for total consideration of $96.7 million.
Kennet invested €6.5 million in goviral in March 2009 and was the company’s only external shareholder. The acquisition of goviral will provide Kennet’s latest fund (Kennet III, which closed in 2008) with a strong return on its investment and is the fund’s second exit in the past three months.
goviral distributes branded video content for over 500 clients that include some of the world's most famous superbrands including Nike, Sony, Coke, Nokia, Audi, Mercedes and Proctor & Gamble. goviral's distribution network consists of over 18,000 publishers, leading social networks and mobile applications that generate up to 60 million video views each month and reach over 350 million internet users worldwide. goviral is headquartered in Copenhagen, with offices in Frankfurt, London, Munich, Stockholm, and Paris.
“The founders and management team at goviral have done a terrific job at building a valuable business without any outside capital. In fact, our 2009 investment was used solely to purchase existing shares from an early shareholder, and was non-dilutive to the company’s founders and management. goviral is a 100% bootstrapped business and we are very proud to have been associated with the company.” said Kennet Managing Director, Michael Elias, who joined the goviral board at the time of Kennet’s investment.
“We have had an exciting time and much fun building our business. It has been a period of extreme growth and international expansion. Kennet’s experience and business understanding has been very valuable as we developed our strategic positioning and built out our management team“ said goviral’s CEO, Rene Rechtman.
Arma Partners acted as exclusive financial adviser to goviral.
About Kennet Partners
Kennet is a leading international growth equity firm that invests in companies in Europe and North America. Kennet invests in internet, technology, and business services companies, offering expansion capital for growth and for liquidity to existing shareholders. Kennet has funds under management of approximately $600 million.
For more information: www.kennet.com.
Kennet Partners Limited is authorized and regulated in the U.K. by the Financial Services Authority.
goviral A/S distributes branded video content for over 500 clients that include some of the world's most famous superbrands such as Nike, Sony, Coke, Nokia, Audi, Mercedes and Proctor & Gamble. goviral's distribution network consists of over 18,000 publishers, leading social networks and mobile applications categorised in 24 vertical that generate up to 60 million video views each month and reach over 350 million internet users worldwide. goviral's unique value proposition is guaranteeing clients a minimum number of targeted video views, bought on a pay-for-performance basis.
For more information: www.goviral.com