Apax Global Alpha Ltd Shares Edged Higher on WGSN Acquisition

The Apax Global Alpha Ltd (LON: APAX) share price edged higher after funds it advises acquired WGSN for €21.5 million. The closed-ended investment firm noted that Apax Private Equity Funds invested in WGSN via a look-through approach.

The acquisition of WGSN, a premier consumer trend forecasting service, was finalised by the Apax XI Fund (“Apax XI”) on February 1, 2024. AGA, a limited partner in Apax XI, participated in this transaction, acquiring WGSN from Ascential plc (LSE: ASCL).

Established in 1998, WGSN stands at the forefront of forecasting consumer trends worldwide. The company delivers pivotal trend insights and forecasts across various sectors such as fashion, beauty, food & beverage, interiors, and consumer technology, aiding clients in making essential design and purchasing decisions. 

WGSN has shown impressive growth, with a revenue compound annual growth rate (CAGR) of 8% from 2016 to 2022.

Under the stewardship of the Apax Funds, WGSN aims to refine and broaden its offerings in product design and consumer insights for numerous consumer-centric industries. This strategic direction is intended to help WGSN's growing international clientele navigate critical design and procurement choices, thereby bolstering their growth prospects.

Apax is well-versed in forming alliances with companies within the information and data sectors. This experience is bolstered by the Apax Funds' previous investments in entities like Genius Sports, a sports data company, and Accurate Background, a provider of workforce screening solutions. 

Additionally, Apax brings to the table significant expertise in B2B subscription models, drawn from its historical investments in marketplace ventures.

The investment AGA made in WGSN is derived from a look-through calculation of Apax XI's comprehensive investment in the company, adjusted for recent currency exchange rates where necessary.

AGA, listed on the London Stock Exchange, grants its investors a gateway to a diverse portfolio comprised of private equity funds advised by Apax, alongside a select group of predominantly debt investments. In June 2022, AGA pledged approximately $700 million to Apax XI.

Apax Global Alpha Ltd share price. 

The Apax Global Alpha Ltd share price edged higher after funds it advises acquired WGSN.