Metric Capital Partners LLP (“MCP”) has agreed to sell Parmaco, a leading provider of high quality, flexible modular education buildings in the Nordics, to Partners Group, the leading global private markets firm (acting on behalf of its clients), to fuel its next phase of growth.
Established in 1966 and headquartered in Tampere, Finland, Parmaco designs, builds and leases high-quality modular school and child day-care buildings to municipality customers. With a portfolio of 353 buildings and c. 180 employees, it is the leading leasing company of modular public educational buildings supporting communities across Finland, with a growing presence in Sweden.
Metric Capital invested in Parmaco in 2018 to support the acquisition and growth of the company. Since then over €200 million of capital has been invested into Parmaco, which now provides educational space to 35,000 children in over 80 municipalities across Finland and Sweden. The portfolio has grown by c. 50% and now totals over 280k sqm of rentable space. Parmaco’s modular buildings also offer strong ESG characteristics, with a greenhouse gas footprint generally 54% lower than traditional concrete-frame schools over the whole building lifecycle.
Growth has been supported by strong demand from local municipalities for flexible, modern space which can meet educational requirements, and an ongoing shift towards the acceptance of modular solutions as a long-term alternative to fixed buildings. Over the course of the investment period, Parmaco has launched new, innovative solutions to its customers as it seeks to provide smarter learning spaces to the children of the world.
The transaction, resulting from a sales process run by Deutsche Bank, is subject to merger control approval from the Finnish Competition and Consumer Authority and is currently expected to close in Q2 2021.
John Sinik, Managing Partner and Chairman of the Investment Committee at Metric Capital, said: “Parmaco is a fast growing and exciting business and we are delighted to having played a key role in the recent phase of its development throughout an uncertain macro environment. The company is further evidence of Metric Capital’s investment philosophy of identifying companies with strong growth potential and yet downside protection.”
Sami Laine, CEO of Parmaco Oy, said: “At Parmaco we believe that every child has the right to smarter learning spaces and that these spaces should adapt to the changing educational demand profile. We seek to provide safe, sustainable and economically viable educational buildings. I’d like to thank Terra Firma, Metric Capital and Sun Hung Kai & Co. for the significant contribution they have made to our business, which has been a major driver of our growth in recent years. I’m excited to be embarking on the next chapter for the business in partnership with our new owners.”
About Metric Capital
MCP is an independent pan-European private capital group that invests in European firms by creating tailor-made capital solutions and seeks to support their ambitions by enabling them to execute strategic transactions. Metric Capital Partners aim to be a value-add partner to the companies in which it invests.
Metric Capital Partners has raised in excess of €2.6bn of capital over four funds since its inception in 2012.
For further information please contact:
John Sinik, Managing Partner, Metric Capital Partners, Tel: +44 (0) 203 540 1550
Lukas Zeitlberger, Senior Principal, Metric Capital Partners – Tel: +44 (0)7835 297141