Investcorp to sell Redington

Investcorp to sell Redington

Published: February 22, 2012

Bahrain firm to make US$49.8mn profit from sale.

Investcorp has agreed to sell Redington International Holdings, a distributor of IT and telecom products, to current shareholder Redington India for US$114.8mn.

Following the completion of the deal Redington India will be the sole owner of the business, which operates in the Middle East, Africa and Turkey.

Investcorp is set to make a US$49.8mn profit on the deal, an IRR of 17%.

The Bahrain-based investor bought a 26% stake in the company in 2008 for US$65mn. The deal was funded through its Gulf Opportunity Fund I and will be the fund’s first exit.