V.Group operates in a global and fragmented market and is expected to benefit from the industry's trend of outsourcing technical services and crew management. This trend is driven by increasing regulatory and technical complexities within the shipping industry, according to a release from AvH.
The transaction is currently pending regulatory approvals and is expected to be completed in the second half of 2024. Upon closing, AvH will hold a 33.3% stake in V.Group with an equity investment of $150 million, excluding acquisition debt financing.
Piet Dejonghe, co-CEO of AvH, commented, "The investment aligns with our strategy to invest in global market leaders with long-term growth potential. These companies operate in markets with high entry barriers that require scale and global reach, and are led by strong management teams."
AvH also owns DEME, one of the world's largest dredging companies.
Paul Gough, managing partner of STAR Capital, added, "We know the shipping industry well from our successful investments in Blohm+Voss and MPC Container Ships. We believe V.Group has strong growth potential due to the global trend towards increased outsourcing and the rising regulatory and technical complexities in the industry."
