A private equity transaction in the eyewear manufacturing business in China
May 20th, 2011 – Armat Group sells its shares in a major eyewear business in China
- Three years after the initial investment, Armat Group sells its shares of a premium and luxury eyewear manufacturer in China. This company has developed one of the largest and most competitive eyewear manufacturing capacities in China, providing western market leaders with OEM contracts, developing production for renowned licensed brands and creating its own in-house brand for the domestic market.
- The company had become one of the major frames and spectacles manufacturers in China, producing more than six million frames a year targeting the upper segments of the market. Owner of three world-class factories in the Dongguan area, in the Guangzhou province, and employing more than 4,000 people, the company is active in all technologies used by the premium and luxury brands: metal, injection and cellulose acetate, producing high-quality products at reasonable costs in a socially responsible environment (certification SA8000).
- Over the last three years, the shareholders, have reinforced the company’s distribution networks in Europe, Asia and the Middle East and have invested in machinery and design in order to stay consistently ahead of competitors in terms of quality and flexibility. The company has met the goals set forth for the exit and investors have sold their majority stake in the company at an EBITDA multiple exceeding x10.