Kyiv, Ukraine – Horizon Capital, a leading private equity firm in Emerging Europe, has won a coveted 2020 PrivateEquity International Operational Excellence Award for its Purcari Wineries transaction in the Europe, Middle Eastand Africa (EMEA) region. PEI’s Annual Operational Excellence Awards recognize stand-out value creation stories inthe private equity industry. Nominations are submitted from across the globe with PEI’s panel of distinguished,independent judges selecting 12 finalists from 3 regions – EMEA, Americas and Asia-Pacific. In honoring HorizonCapital, the judges commended the firm for the “excellent turnaround of a business with continued growth”, notingchallenges faced that were overcome with stellar results.
This prestigious award is a first for Horizon Capital in this category and made possible by the strong partnershipand collaboration between Victor Bostan, Purcari Wineries Founder & CEO and Vasile Tofan, Horizon Capital Partner,in launching and implementing robust value-creation efforts beginning in 2013. The firm is particularly proud to berecognized for its noteworthy achievement in operational excellence as helping founders and their companies toachieve best-in-class performance is fundamental to growth equity investing at Horizon Capital.
Purcari Wineries faced major challenges following an embargo on wine exports to its largest market, thus turning agrowth investment by Horizon Capital’s Emerging Europe Growth Fund II, L.P. (EEGF II) fund, into a turnaround story.Against this backdrop, Horizon Capital led efforts that included Purcari Wineries shifting its commercial strategyto focus on CEE markets, streamlining the portfolio and relaunching key brands, strengthening the management teamunder its founder, upgrading marketing and sales capabilities, improving financial discipline and realizing costefficiency, which ultimately, culminated in a successful IPO on the Bucharest Stock Exchange in 2018. Thiscommitment to operational excellence has had an enormous impact on Company results. Purcari revenues more thandoubled between 2013-2018, despite the embargo, with exports to over 40 countries; EBITDA grew over 15 times andEBITDA margin rose to circa 35% – the highest among its global peer group. Purcari Wineries (ticker symbol: WINE)was successfully listed on the Bucharest Stock Exchange, a first for a Moldovan-based company with Horizon Capital’sEEGF II fund earning a gross 3.3x cash-on-cash blended multiple on exit. Following EEGF II’s full exit, PurcariWineries attracted a new investment from Horizon Capital’s latest EEGF III fund based on its ambitious long-termgrowth plans and by first acquiring part of founder shares, then further increasing shareholdings to now hold aminority stake second only to the Company’s founder.
Horizon Capital is truly honored to be recognized by Private Equity International and its esteemed panel of judgesfor our hands-on work to transform Purcari Wineries together with founder-visionary Victor Bostan and the talentedmanagement team. Horizon Capital invests more than capital in theleading companies that we back – we work shoulder-to-shoulder with founders and their teams to develop strongcompanies operationally, competitively and financially. This award truly belongs to Victor Bostan, Vasile Tofan andthe entire Purcari Wineries team. Congratulations to all of us! Felicitări tuturor!
Founding Partner & CEO
Horizon Capital is the leading private equity firm in Ukraine and Moldova backed by over 40 institutional investors,managing four funds with assets under management of over $850 million and a tenure of 25 years in the region. Thefirm is an active, value-added, growth equity investor, investing alongside visionary entrepreneurs leadingtransformational businesses in Ukraine and the near region. Our investment strategy focuses on export champions intechnology, e-commerce, light manufacturing, and food and agro, as well as select domestic champions in fast-growingsectors. We are known for our strong team, high integrity and governance, value creation and track record ofsuccessful investments. More at www.horizoncapital.com.ua
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