Funding large KKR has acquired European pageant operator Superstruct Leisure from personal fairness agency Windfall Fairness Companions.
As a part of the transaction, Windfall has an choice to take a position €250 million (approx $267m) into Superstruct.
KKR is making the funding in Superstruct via its European Fund VI, an $8 billion fund that invests within the development of “main companies”.
UPDATE: An earlier model of this story reported that the deal was value GBP £1.3 billion ($1.64bn at present alternate charges), citing a report from the Monetary Occasions. The determine within the FT’s article has since been revised to EUR €1.3 billion, which converts to USD $1.39 billion.
Based in 2017 with seed funding from Windfall and led by former Reside Nation exec James Barton, Superstruct has grown its enterprise via strategic acquisitions throughout Europe and Australia.
The corporate now operates 80 large-scale festivals and 200 smaller occasions, together with Wacken Open Air rock pageant, plus Boardmasters and Sónar.
The FT stories that the UK-based firm’s occasions appeal to 7 million folks every year.
KKR stated in its announcement on Friday (June 21) that “demand for reside leisure has grown considerably over the previous decade and is predicted to proceed to increase, as client spending continues to shift from items in direction of expertise”.
It added that it plans to “assist Superstruct in its subsequent section of growth as one of many key gamers in a extremely fragmented sector that continues to develop, increase and professionalize”.
With its funding in Superstruct, KKR stated it’s going to “draw from direct expertise” working with unbiased music companies, together with music firm BMG. (BMG and KKR introduced an alliance in March 2021 to amass and handle music copyrights.)
Goldman Sachs is appearing as monetary advisor and Kirkland & Ellis as authorized advisor to KKR. Windfall is being suggested by HSBC and LionTree as joint monetary advisors, and White & Case as authorized advisor.
“With a sturdy basis as a top-tier reside leisure platform, we see important development alternatives forward for Superstruct.”
Philipp Freise, KKR
Philipp Freise, Companion and Co-Head of European Non-public Fairness and Franziska Kayser, Companion at KKR, stated: “We’re delighted to companion with Roderik Schlösser, James Barton and the crew at Superstruct who’ve established themselves as a pacesetter in delivering unparalleled reside music experiences globally.
“With a sturdy basis as a top-tier reside leisure platform, we see important development alternatives forward for Superstruct.
“Drawing on our sturdy partnership method and expertise within the digital leisure and ticketing house, reminiscent of BMG, ProSiebenSat1, GetYourGuide, and Trainline, in addition to KKR’s world sources and in depth community, we’ll assist the corporate and its entrepreneurial crew to convey their compelling portfolio of reside occasion codecs to a wider viewers and drive additional development.”
“We’re extremely happy with the speedy development and success Superstruct has achieved since its inception.”
Andrew Tisdale and Daniel Zwicky, Windfall Fairness Companions
Andrew Tisdale, Senior Managing Director and Daniel Zwicky, Director at Windfall Fairness Companions, stated: “We’re extremely happy with the speedy development and success Superstruct has achieved since its inception.
“With Windfall’s backing, Superstruct has grow to be a really distinctive reside leisure firm. Particularly, we consider the Firm’s resilience and emergence from the worldwide pandemic as a stronger enterprise is testomony to the entrepreneurial spirit of Roderik Schlösser, James Barton and the spectacular administration crew. We’re assured that with KKR’s assist, Superstruct will proceed to thrive.”
“By our growth, we’re a pacesetter within the professionalization of this trade, enabling our devoted groups to excel in a collaborative and provoking setting and create and ship best-in-class occasions for thousands and thousands of followers.”
Roderik Schlösser and James Barton, Superstruct Leisure
Roderik Schlösser, CEO and James Barton, Chairman of Superstruct Leisure, stated: “The founding imaginative and prescient for Superstruct was to create a pure house for profitable entrepreneurs, inventive visionaries, and business-minded professionals in reside leisure. We needed to create a community of affect setting the requirements for reside experiences.
“By our growth, we’re a pacesetter within the professionalization of this trade, enabling our devoted groups to excel in a collaborative and provoking setting and create and ship best-in-class occasions for thousands and thousands of followers.
“We’re proud to have secured the backing of KKR, whose experience and community will strengthen our potential to scale and innovate within the vibrant experiential economic system. We wish to thank Andrew Tisdale, Daniel Zwicky and the crew at Windfall for his or her excellent assist. Their perception in Superstruct has been basic to our success.”
Music Enterprise Worldwide
