Technology
Newgen – Majority of stake acquired by The Carlyle Group
About
Newgen
Newgen is a provider of publishing and technical services for many of the world’s largest and most prestigious publishers, particularly in the USA, the UK and Europe. It offers a diverse range of services for books and journals, such as content sourcing, content creation, project management, author liaison, development editing, copyediting, design, artwork and permissions, typesetting/composition, XML creation, ebook delivery, EPUB conversion, bespoke publishing, backlist conversions, mobile app distribution and discoverability solutions. It has production centers in India, UK and US
Newgen has also diversified into financial publishing, digital marketing and complex publishing solutions through its subsidiaries. Its UK subsidiary, Spectra offers a SaaS (“Software-as-a-Service”) solution for addressing the publishing and reporting requirements of the fund management/asset management industry. ePagemaker is a digital marketing solutions company specialized to provide end-to-end interactive solutions to clients. GPSL provides, develops and delivers applications and software customized to client requirements to solve complex publishing challenges in various environments such as defense and government
Carlyle
The Carlyle Group (NASDAQ: CG) is a global alternative asset manager with $203 billion of assets under management across 129 funds and 141 fund of funds vehicles as of September 30, 2014. Carlyle invests across four segments – Corporate Private Equity, Real Assets, Global Market Strategies and Solutions – in Africa, Asia, Australia, Europe, the Middle East, North America and South America. Carlyle has expertise in various industries, including: aerospace, defense & government services, consumer & retail, energy, financial services, healthcare, industrial, real estate, technology & business services, telecommunications & media and transportation. The Carlyle Group employs more than 1,700 people in 40 offices across six continents. Equity for this transaction came from First Carlyle Ventures III, an investment fund advised by The Carlyle Group.
Background
We are pleased to announce that The Carlyle Group (“Carlyle”) has acquired majority stake in our client Newgen Knowledge Works Private Limited (“Newgen”). Carlyle bought out the stake held by the three incumbent Private Equity Funds viz., Franklin Templeton Private Equity Strategy (“Franklin Templeton”), Aureos Capital (“Aureos” now part of Abraaj Capital), and ePlanet Ventures (“ePlanet”). Carlyle had earlier invested in Newgen in 2004 and exited its investment in 2011.
Veda Corporate Advisors was the exclusive advisor to Newgen and the Sellers in this transaction. VedaCorp provided comprehensive transaction advisory services covering strategic positioning, valuation and transaction structuring, assistance in due diligence, negotiation and finalization of definitive agreements, leading to the successful closure of the transaction.
This is VedaCorp’s third consecutive Private Equity transaction for Newgen, VedaCorp was the exclusive advisor to Newgen in all its previous transactions i.e., in 2004 and 2011. This is also VedaCorp’s 9th (ninth) transaction in the Publishing Services/Content Solutions domain.