Hengeler Mueller advises Axel Springer SE on repurchase of minority share in online classified business from General Atlantic

08. December 2014

Axel Springer and US growth investor General Atlantic have reached a binding agreement on increasing Axel Springer's share in Axel Springer Digital Classifieds GmbH from 70% to 85% with the option to purchase the remaining 15% share. Axel Springer Digital Classifieds GmbH is a strategic partnership in which Axel Springer SE currently holds a participation of 70% and General Atlantic currently holds a participation of 30%.

Axel Springer will initially acquire a 15% share in Axel Springer Digital Classifieds GmbH against payment of a purchase price in cash of EUR 446 m. For the remaining share of 15%, Axel Springer has been granted a purchase option. In the event that the option is exercised, General Atlantic is to receive shares in Axel Springer as consideration or alternatively an equivalent payment. The number of shares will be calculated on the basis of the enterprise values to be determined in accordance with the IDW S1 valuation standard (comparable to DCF valuation). In order to be able to grant shares, authorised capital is to be created.

Hengeler Mueller is advising Axel Springer SE on this transaction regarding Corporate and Capital Markets matters. The Hengeler Mueller team includes partners Andreas Austmann and Carsten Schapmann as well as associates Thomas B. Paul and Peter Wehner (all Corporate/Capital Markets, Düsseldorf).