Anacacia Capital has received an award from the Australian Private Equity and Venture Capital Association for its investment into Lomb Scientific.
The award was presented at the annual Australian conference in front of several hundred from the industry. Anacacia invested in Lomb in April 2008 alongside management and the family of the company’s recently deceased founder. Upon the sale of the business in December 2010 to ThermoFisher Scientific, Anacacia made a 4.3x investment multiple and an internal rate of return of 79% per annum for its investors.
Lomb Scientific is a supplier of laboratory consumables, chemicals and instrumentation to the scientific community. Its core manufacturing facility for chemicals is based in Western Sydney and the main distribution center is based in Southern Sydney. There are sales offices throughout Australia and New Zealand (www.lomb.com.au).
“This is great recognition for the Lomb and Anacacia management team and broader staff that worked very hard for 3 years during tough economic times to grow the earnings of the business by 35% per annum” said Jeremy Samuel, Anacacia’s Managing Director that led the investment into Lomb Scientific.
With Anacacia's assistance and under a new CEO, management improved the business, growing revenue and earnings and subsequently built a strong platform to maximize its attractiveness to an international buyer. Anacacia’s efforts also included strengthening the balance sheet, adding governance and other systems, better alignment of costs to revenues, processes to integrate prior acquisitions and a continued push to Lomb-owned brands.
The Australian Private Equity and Venture Capital Association portfolio company awards recognize vision, achievement, creativity and entrepreneurship of AVCAL fund manager members.
The judging focus was on value-add by the fund manager, financial performance, returns to investors, innovation, industry competitiveness, and overall contribution to the economy.
Anacacia Capital invests in Australian or New Zealand based businesses with more than A$10 million of revenue and A$2 million of cash flow. The firm is based in Sydney, Australia (www.anacacia.com.au).