NewsJŠK successfully represented BHS Private Equity Fund in the acquisition of a leading manufacturer of electrical switchboards and external financing of the transaction

The JŠK law firm advised BHS Private Equity Fund on the further expansion of its assets, this time by manufacturing company DCK Holoubkov Bohemia a.s.

BHS Private Equity Fund was established in 2015 for the purpose of pooling the funds of individual Czech and Slovak investors and invests mainly in the form of growth capital into Czech and Slovak companies. The investment in DCK Holoubkov Bohemia a.s. is the fund’s sixth acquisition.

DCK Holoubkov Bohemia a.s. was founded in 1953 and focused on the production of concrete products. During the sixties, the company developed the production of low-voltage concrete NN switchboards from thin-walled concrete, which was converted into plastic production during the 1990s. The production of polycarbonate switchboards for power companies is today its main line of production.

“The DCK acquisition was a very complex LBO transaction,” said Luděk Palata, BHS Private Equity Fund partner. “It contained elements of MBO and MBI, and in addition to the acquisition loan it was necessary to deal with the allocation of assets, transfer subcontracting contracts, deal with personnel issues, etc. Thanks to the customary great work of the JŠK team we succeeded in resolving everything quickly and closing the transaction with the comfortable knowledge that everything was done correctly and that DCK’s activities can develop smoothly in the future.”

The JŠK transaction team was led by partner Tomáš Doležil in cooperation with managing associate Michal Jendželovský and junior lawyer Sebastian Špeta. Advisory on acquisition financing was provided by partner Roman Šťastný and the members of his team – senior associate Daniel Pospíšil and junior lawyer Jana Sabová.

Tomáš Doležil commented on the transaction as follows: “This is the biggest investment so far for our long-time client, one that it has rightly pinned a lot of hopes on. The company is a traditional manufacturer, which is in excellent economic and technological shape. We are delighted to be part of this project and to have been able to contribute to the successful negotiation of the entire transaction, including acquisition financing.”