Exclusive Networks shareholder taking the distributor private - report

Less than three years after its stock market debut, rumours of a return to private are circulating

Exclusive Networks might be returning to private ownership following rumours its largest shareholder is contemplating taking the distributor off the Euronext Paris.

A report from Reuters citing people familiar with the matter said private equity firm Permira is considering getting together with investors, including private equity funds.

The pivot back to private reportedly follows expressions of interest in jointly bidding for the outstanding shares of the Paris-listed company, which has a market value of €1.65bn (£1.4bn).

Shares in the French cybersecurity distributor reportedly jumped following the Reuters report.

Exclusive Networks declined to comment on market rumours.

€1.8bn valuation after stock market debut

Permira first invested in Exclusive back in 2018.

Following the VAD's IPO in 2021, Permira held 55.2 per cent of the capital and voting rights in the Exclusive Networks business.

In its FY23 results published in February, Exclusive reported revenues of €1.5bn (£1.28bn), up six per cent.

The bulk of its growth came through existing vendors in current geographies (13.9 per cent), vendor expansion (0.5 per cent), composed of vendors entering into new geographies (0.3 per cent) and new vendors (0.2 per cent).

EMEA remained the biggest market for Exclusive (78 per cent of the group) with gross sales coming at €4bn, up 14 per cent year-on-year.