Nexxus Iberia has announced that Nexxus Iberia Private Equity Fund I, FCR has invested in Spanish advertising company TwentyFour Seven, the third investment completed by the fund.
Founded in 2004, TwentyFour Seven specialises in the production of “spots for advertising campaigns for international brands”. The company coordinates audio-visual productions, as well as identifying and managing locations, selecting talent and recording scenes.
TwentyFour Seven has operations in Madrid, Barcelona, Palma de Mallorca and Lisbon. All of its clients are international, with the US, UK, France and Germany being its main markets. Last year, the company launched an international office in Poland by creating a joint venture with Radioaktive Films, which is based in Kiev.
A Nexxus Iberia statement said: “We fully trust the potential of TwentyFour Seven. The company has a very attractive positioning to benefit from the increase of audio-visual consumption in the advertising industry as a main communication tool, both in offline and online platforms.
EY provided legal advice to Nexxus Iberia on the deal, while Auren advised TwentyFour Seven.
Alejandro Diazayas, partner at Nexxus Iberia, said: “TwentyFour Seven is a good example of the company that we seek to invest in, with a clear international angle and a top-level management team. Since day one, we have been impressed with the professionalism and ambition of the entire team. Its track record to date is extraordinary, having positioned the company as the leading brand in Iberia. We hope that, together with Nexxus, we can continue building a leading group in the international production services industry."
Ivo Van Vollenhoven, co-founder and president of TwentyFour Seven, said: “Our partnership with Nexxus Iberia is another step in our vision to continue growing and strengthening. We are excited about this new stage, in which we believe that the previous investment experience and internationalization of companies of Nexxus’ team can be differential."
Gloria Ochoa, co-founder of TwentyFour Seven, said: “We are proud of completing this transaction with Nexxus Iberia. We are convinced that they will help us to continue improving the management and professionalization of the group, with the only objective of continuing to serve our clients with the best quality possible."
Nexxus Iberia’s two previous investments involved the acquisition of a minority stake in Spanish women’s health business Dorsia, Eva and Origen, as well as the acquisition of a stake in engineering company Fuertes Gimeno Comunicaciones.
Nexxus Iberia Private Equity Fund I completed its first closing with €130 million of capital commitments. It has invested €40 million to date. Typically, the fund seeks to invest in businesses with EBITDA of between €3 million and €5 million. The fund is aiming to make eight to ten investments, each in the region of €10 million to €25 million.