Gyrus to boost Consulcesi’s international growth; Blackstone invest in Esdec Solar Group

TPG buys stake in Italian music data platform Musixmatch.

Happy Friday Eurohubsters, it’s Craig McGlashan here.

I’m always keen to go into the weekend on an optimistic note, so amid all the worries about the cost of living crisis and potential recessions on the horizon, I’ve written a piece focusing on one sector that should prove resilient to the background noise: healthcare.

Spreading the health. I spoke to Guy Semmens of Gyrus Capital about the firm’s recent acquisition of Consulcesi Group, a platform based in Balerna, Switzerland, that provides continuous medical education, legal services, data analytics and digital marketing to the healthcare industry.

“We like it because it’s entrepreneur-built, owned and led,” said Semmens. “We like it because the medical profession is resilient – it’s not exposed to the ups and downs of the consumer world. We like it because there is a digital transformation going on. You can get a higher quality product to more people at a low cost.

“It’s healthcare, but it’s also sustainability because reducing cost and increasing access at a reduced cost is part of what we’re trying to do in the world. It’s a super business in a sector we believe will be resilient, whatever is coming in the next 12 months or so.”

Consulcesi is predominantly active in Switzerland and Italy, with some operations in the UK and Brussels. But that could soon change – despite the challenges inherent in the fragmented European healthcare industry, where “nothing’s easy to get across borders”, said Semmens.

“Language is an issue, regulation is an issue, culture is an issue,” he said. “But fundamentally, it’s the same product. When you’re teaching people about a new drug, a new operation process, a new piece of medical equipment, yes, you’ll have to do it in German, French and Italian. But it’s the same bit of kit and it’s the same body. The core materials are broadly the same.”

You can read the full article here.

Summer holiday. We’re expecting a bit of a slowdown in deals as we head into August and everyone gets a way for a well deserved break. But for the moment, it looks like plenty dealmakers are getting business done before they pack their suitcases.

In fact, Blackstone have been sun-seeking when it comes to their deals too. It announced on Thursday that it will invest in Dutch rooftop solar hardware specialists Esdec Solar Group.

The investment from New York-based Blackstone is to support Esdec’s growth plans. The company’s growth has been achieved organically and through M&A, by acquiring and integrating six add-on acquisitions in the US and Europe.

The investment, expected to complete before the end of the year, is to be made from funds managed by Blackstone Energy Partners and Blackstone private equity.

“Esdec is an industry-leader in a fast-growing market with a track record of profitable growth, and we are delighted to partner with the management team and Rivean in achieving their long-term strategic plans,” said Jürgen Pinker, senior managing director at Blackstone.

Heavy meta. TPG announced yesterday an investment in Italian music data platform Musixmatch via TPG’s middle market growth equity platform, TPG Growth. The investment will allow Musixmatch to explore expansion opportunities in new geographies and verticals.

Musixmatch was founded in 2010 in Bologna. It provides metadata to digital service providers including Amazon Music, Apple Music, Google, Instagram, Spotify and Tidal.

TPG has experience of investing in music and streaming. It has an extensive portfolio of music and media investments including Calm, Spotify, DirecTV, Creative Artists Agency, Entertainment Partners and Fandom.

“Digital music streaming has become the default form of music consumption and continues to experience robust growth,” said Jacqui Hawwa, a business unit partner at TPG Growth. “We have long admired the impressive platform that Musixmatch has built and believe its unparalleled metadata catalogue, proprietary lyrics sourcing engine and extensive relationships with streaming platforms and IP owners will continue to position the company for success in this large and growing market.”

That’s it from me – have a great weekend and we’ll speak again on Monday.

Cheers,

Craig