The deal represents an initial return of 2.5x for Mobeus-advised funds with potential for this to increase to in excess of 2.7x over the next two years. Initial IRR to shareholders is 38.7%, potentially increasing to 40.9%.
Led by CEO Elsa Chen Entanet is a UK based wholesale communications infrastructure provider which uses third party networks to deliver a wide range of connectivity and telecommunication products and services to small business customers.
Mobeus backed by Chen and her management team in the MBO of Entanet in February 2014, committing a total of £9.5m and introducing experienced Chairman, Richard Atkins, to the Board. Since then, the team has worked with Mobeus to refine the business model and introduce new products and services. As a result, annual revenues have grown from £27m up to £36m at the time of the sale.