BDA advises Carlyle and CDIB on sale of Leyou to Warburg Pincus
Divested Leyou to Warburg Pincus
BDA Partners is pleased to announce that Carlyle, CDIB and the other investors in Leyou Inc. have sold their aggregate majority stake to funds managed by Warburg Pincus. Leyou is a leading branded mother-and-baby care (“MBC”) retailer in China, headquartered in Beijing. Larry Kung and Michelle Hu, the co-founders of Leyou, are retaining their ownership interests and leadership roles in the Company. Financial terms were not disclosed.
BDA Partners was the exclusive financial advisor to Leyou and shareholders on the transaction.
Leyou’s footprint comprises over 500 self-operated and franchise stores in 100 cities across China, complemented by a rapidly-growing online business. In recent years, Leyou has successfully transformed from a traditional, multi-brand specialty retailer to a modern, branded O2O retail concept featuring “Great Family”, one of the most highly-regarded domestic MBC brands.
Anthony Siu, Managing Director, BDA Partners Shanghai said: “We are delighted to have advised Leyou on this important transaction during a time of rapid change in China’s economy. The new partnership will enable Leyou to accelerate its growth within a turbulent international environment, leveraging Warburg Pincus’ worldwide network and track record in China’s consumer/services sectors. China remains one of the fastest-growing markets in the global mother & baby sector. We are pleased to have assisted Leyou, as a key industry player, to enter this next phase of its growth.”
Enquiries: please contact Anthony Siu or Mark Webster on firstname.lastname@example.org
"With the ongoing US-China trade dispute, and increased scrutiny by Chinese regulators leading to IPO rejections, domestic companies and global investors face a more challenging landscape. BDA Partners believes that M&A offers a vital alternative exit route. We wish Larry, Michelle and Warburg Pincus all the best as they cement Leyou’s market leadership going forward."
Incorporated in 1999 and headquartered in Beijing, Leyou has become one of the top three MBC retailers in China with over 500 self-operated and franchise stores across more than 100 cities in China, with a fast-growing online presence. The Company sells private label, exclusively distributed brands, and other products through its multiple offline & online sales channels and nationwide footprint. www.leyou.com.cn
About Warburg Pincus
Warburg Pincus LLC is a leading global private equity firm focused on growth investing. The firm has more than US$45bn in private equity assets under management. The firm’s active portfolio of more than 165 companies is highly diversified by stage, sector and geography. Warburg Pincus is an experienced partner to management teams seeking to build durable companies with sustainable value. Founded in 1966, to date Warburg Pincus has raised 17 private equity funds, which have invested more than $68 billion in over 800 companies in more than 40 countries. The firm is headquartered in New York with offices in Amsterdam, Beijing, Hong Kong, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore. www.warburgpincus.com.
BDA Partners is a leader in cross-border investment banking involving Asia. BDA advises on M&A and capital raising. BDA has been consistently owned and managed by the same team since 1996. BDA has a track record of providing independent advice to blue-chip corporate and financial sponsor clients from North America, Europe, and Asia. BDA is headquartered in New York with offices in London, Mumbai, Ho Chi Minh City, Singapore, Hong Kong, Shanghai, Seoul, and Tokyo. BDA was named Investment Bank of the Year 2017 by both The M&A Advisor and ACG New York. BDA formed partnerships with William Blair & Company in 2011 and Development Bank of Japan in 2017. www.bdapartners.com
Growth capital raise
Series D capital raise
Divested Hyosung Capital to ST Leaders Private Equity
Divested Sundance Mountain Resort to Broadreach Capital and Cedar Capital
Series B capital raise
Divested Young Toys to MiraeN Group
Strategic partnership in China and investment by EverYi Capital
Acquired Rich Graviss
Divested controlling stake to Grass Green Group
Divested assets to Centric Brands
Divested a 70% stake to Affirma/SCPE
Divested Alliance Cosmetics Group to Mandom
Investcorp invested up to $250m in China Everbright New Economy Fund
Divested Chinese RTW business to a Hong Kong-based investor
Divested Gourmet Noodle House to GreenTree Inns
Divested Kingstar to Zhongping Capital
Growth capital raise
Divested Harrys of London to Charles Cohen
Acquired Chinese food ingredients company, Tianning Flavours
Merged with Fitness First Asia, led by Navis Capital