Under the new owner, the company intends to develop even further in the areas of technology and services.
(Photo: d&b)
Frankfurt Four years after the start of the first auction, a buyer has been found for the concert speaker manufacturer D&B. US financial investor Providence is taking over the company from Backnang in Swabia, according to a statement on Monday.
Ardian, a French private equity firm, is selling the company at a valuation of around 650 million euros, according to several people familiar with the transaction. Investors declined to comment on the price.
Ardian acquired D&B in 2016, invested in internationalization and put it up for sale three years later. No sooner had the first bids been received for the company – including from Providence – than the corona pandemic broke out and most events were cancelled. D&B’s business collapsed. The operating result (Ebitda) fell from 45 million euros to around 20 million euros.
However, after the dry spell of 2020 and 2021, the company recovered rapidly, with sales and profits increasing to pre-pandemic levels. As a result, Ardian started a new auction in the spring, which has now been brought to a successful conclusion.
According to financial circles, an operating result of more than 60 million euros is targeted for this year with sales of almost 300 million euros. Within the next three to five years, D&B is even targeting a doubling of business under the new ownership, according to a person familiar with the process.
All-round package: D&B also offers on-site installation of its devices
D&B manufactures audio and lighting systems for stadiums, concert halls and conference rooms, but also mobile systems that are used for outdoor concerts, for example. The company increasingly offers services such as on-site installation and maintenance; to this end, it recently acquired service providers White Light and SFL. The services help D&B to plan, recurring sales.
According to financial circles, Providence wants to further develop the company, which competes with the French L-Acoustics, even more in the direction of technology and services. One aspect is the live transmission of pop concerts to other concert halls, with a strong focus on sound quality.
Providence brings expertise that the investor has acquired with portfolio companies. The investment company owns the US event technology provider TAIT, the live event organizer Superstruct and the theater operator Ambassador Theater Group.
Since Ardian’s entry, D&B’s workforce has tripled to more than 1000 employees, in particular by opening up new markets outside of Europe. The number of employees is also expected to increase in the future. “The global growth trend for events, concerts and major events has continued unchanged after a forced break due to the corona pandemic,” said D&B CEO Amnon Harman.
The company was founded in 1981 by entrepreneurs Jürgen Daubert and Rolf Belz near Stuttgart. Former and current managers continue to hold around 15 percent of the company.
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