PW Markets leases stand and exhibition space under the brand name TICA to brands and specialized B2B wholesalers in the home, gift, garden, and fashion sectors. With more than 1 million products from 450 brands and over 63,000 m² of shop-in-shop retail space across five locations in the Netherlands and Belgium, TICA positions itself as a leading wholesale center for B2B lifestyle professionals. To enable the general manager's entry as a shareholder, the value of the company had to be determined and financing had to be secured.
The challenge
The company has multiple locations, two of which were recently opened and are not yet fully operational. For the purpose of the valuation forecast, it was important to accurately map the future earning capacity of each location in order to arrive at a well-founded valuation.
Beyond the deal
To arrive at a carefully substantiated indicative valuation, Maasdael set up a financial model in which the various branches are forecasted individually, taking into account growth potential and strategic initiatives. On the one hand, this model represents a fair entry price for the incoming director and, on the other hand, realistic sale proceeds for the existing shareholders. In addition, we assisted in raising the financing to make the transaction possible.
For the director, this marks a great step after years of involvement in the growth of the company. For TICA, this means the certainty that his knowledge and commitment will be preserved in the longer term.
The value of sector knowledge
Management participation is a popular instrument for tying key people to a company, which benefits the commitment, continuity, and further growth of the company. Maasdael's broad expertise and experience in the field of management participation and financing was valuable in facilitating this entry for TICA.
