GESSEL advises the Avallon Fund on its sale of MPS International

GESSEL provided comprehensive legal advice on divestment of a majority stake in MPS International, representing Avallon in the negotiations, preparing the transaction documentation, and coordinating the closing.

Our team working on this project was led by Maciej Kożuchowski, partner and included Dr Bartłomiej Woźniak, managing associate and Majka Rucińska, senior associate.

Avallon MBO Fund II acquired the company in the course of a management buy-out in 2014. Over the ensuing 7 years, the company went from strength to strength, expanding its product offer, boosting revenue by 67%, and EBITDA – by no less than 87% in juxtaposition with figures for 2020. Over the same period, MPS increased its employee headcount from 234 to 340, i.e. by 45%.

The AVALLON fund, presently celebrating its 20th anniversary, is an independent Polish private equity manager and a pioneer of management buy-outs in Poland (to date, it has participated in approximately 100 such transactions). Avallon’s partners have been active in private equity since 1993.

MPS International accepts orders for formulation and production of cosmetics on a white label basis, working with clients on new recipes, testing them at own MPS laboratories, drawing up the requisite documentation, and designing and producing packaging. The production output of MPS includes body, face, and hair cosmetics, perfumes, and special grooming series and sets.