EI explains sale of Artima network

Jacek Wozniak, a partner in the private equity firm Enterprise Investors, says the company’s exit from the Artima business was based on the less spectacular increase forecast for the network in the coming years, due to greater market competition and also the high level of interest of strategic investors in Artima.
“In around three years, Artima’s sales tripled, both as a result of organic growth, and of network expansion. We would not have enjoyed the same growth in the coming years, as competition is becoming increasingly heavy,” said Wozniak.
Polish Enterprise Fund V (PEF V), which is a private equity fund managed by Enterprise Investors, received two 55 million-euro offers for Artima, according to sources from the market.
One of them was submitted by Carrefour, with which it signed a sales agreement at the end of October. The French retailer Carrefour started negotiations to acquire the Artima supermarkets in September.
The fund received 4 or 5 offers for the store network from strategic investors, some of which have yet to enter the local market, according to market sources.
Wozniak would not reveal the name or the number of bidders for Artima, and cited the existence of a confidentiality clause in the contract closed with Carrefour.
At present, the Competition Council is examining the transaction.
Enterprise Investors (EI) is close to making another exit from the Romanian market, after it initiated negotiations to sell the minority stake it holds in Siveco, according to statements made by Jacek Wozniak. However, he does not rule out the possibility of Polish Enterprise Fund V conducting new investments in Romanian retail in the future.
On average, investments conducted by PEF V in a company stretch over a three-year period.
The fund’s exit from the Artima network’s shareholder structure brought it an over three times higher sum than it had initially invested.