CF-MB advises FSN Capital on entry - MEGABAD ahead of next growth step

Dear Ladies and Gentlemen

dear business partners,

we are pleased to inform you that we exclusively advised FSN Capital VI* ("FSNC"), one of the leading investment companies in Northern Europe with offices in Oslo, Stockholm, Copenhagen and Munich on its investment in the tradition-rich Gottfried Stiller Group - MEGABAD.

FSN Capital VI* (“FSNC”) has signed a definitive agreement to invest in MEGABAD alongside the existing owners. The founding family and investor VR Equitypartner will retain significant ownership in the company. FSN will partner with the current owners and the management team to support MEGABAD, a leading e-commerce retailer of sanitary products and accessories in the DACH region, during the next phase of its growth.

Originally founded as the Gottfried Stiller GmbH, a specialist retailer for sanitary products by the Stiller family in 1973, the MEGABAD web shop was launched in 2003 as the first specialist e-commerce retail shop for sanitary products in Germany. MEGABAD offers a wide range of products to a broad customer group primarily in the DACH region. With its industry-leading product assortment of leading international brands and a broad portfolio of own branded products, the company serves both B2C and B2B customers.

The investment in MEGABAD is aligned with FSNC’s strategic focus to partner with founders and invest in companies that are supported by strong industry tailwinds. FSNC will invest in the Company to support several key growth initiatives initiated by management and to support the founder transition.

Stefan Stiller commented “Our initial partnership with VR Equitypartner, which started in 2019 has already proved very beneficial for the development of the company and now we are very happy to partner with FSNC to support our next phase of growth.“ Tim Feld, ED at VR Equitypartner adds “Together with the Stiller family we have further strengthened the company, build out its market position in its core market and prepared MEGABAD for the next phase of growth. We are convinced that FSNC is the right partner to support the company going forward an

Justin Kent, Partner at FSN Capital Partners (investment advisor to the FSN Capital Funds) sees MEGABAD as a highly attractive investment opportunity: “MEGABAD was a first mover in driving the shift towards e-commerce in the sanitary industry. We are still at the beginning of this transition in the sanitary sector and we believe that MEGABAD is well positioned to capitalize on future developments both in the DACH region and other international markets. We look forward to partnering with the Stiller family, VR Equitypartner and CEO, Mr. Harald Hotop, to further support MEGABAD’s outstanding growth story.”.

"We have already accompanied MEGABAD for several years and are following the company's unique success story with great pleasure. In an attractive market with high development potential, we see the entry of FSNC as an opportunity to further accelerate growth for MEGABAD," says Carsten Häming, Managing Partner of CF-MB.

The transaction is subject to approval from applicable authorities. Further details of the transaction have not been disclosed.