REG - HgCapital Trust PLC - Hg announces a partial exit of Trackunit

HgCapital TrustAnnouncement

11/02/2025 07:15

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RNS Number : 5928W  HgCapital Trust PLC  11 February 2025

 

Hg, the Manager of HgCapital Trust plc ("HgT"), today announces a partial exit
of Trackunit, a leading SaaS and operating data platform provider for the
construction ecosystem globally, to the Private Equity business at Goldman
Sachs Alternatives.

 

The terms of the transaction have not been disclosed. The transaction remains
subject to customary regulatory approvals and is expected to close in early
summer.

 

HgT, whose shares are listed on the London Stock Exchange, gives private and
institutional investors the opportunity to participate in all Hg's
investments.

 

This transaction values HgT's investment in Trackunit at approximately £53.4
million. This would represent an uplift of £2.8 million (6% or 0.6 pence per
share) over the carrying value of £50.6 million in the estimate Net Asset
Value ("NAV") of HgT at 31 December 2024. HgT will receive a net realisation
of approximately £21.1 million from Trackunit, having re-invested a portion
of its proceeds in the business alongside other institutional clients of Hg.
HgT's exposure to Trackunit will be £32.3 million at closing representing
approximately 1.3% of NAV.

Note that these figures only relate to HgT's share of Hg's overall investment
in Trackunit.

Based on the 31 December 2024 estimated NAV, the pro-forma NAV of HgT is
expected to be £2.5 billion (or 544.6 pence per share).  HgT's available
liquid resources, which includes the undrawn bank facility of £326 million
for future deployment (including all announced transactions and the interim
dividend paid in October) are estimated to be £462 million (19% of the
pro-forma 31 December 2024 NAV). HgT's outstanding commitments to invest in Hg
transactions are approximately £643 million (26% of the pro-forma 31 December
2024 NAV).

 

10(th) February 2025

 

Press Release

 

Trackunit, a Global Leader in Software and IoT Connectivity Solutions for the
Construction Sector, Announces Investment from Goldman Sachs Alternatives

 

Aalborg, 10(th) February 2025 - Today, Trackunit (the "Company"), a leading
SaaS and operating data platform provider for the construction ecosystem
globally, announced that Private Equity at Goldman Sachs Alternatives will
acquire a majority stake in the Company from funds advised by Hg and GRO
Capital. Goldman Sachs Alternatives' investment marks the next chapter in
Trackunit's ambitious growth journey, supporting the Company's mission to
eliminate downtime in construction and to support customer success and
innovation. As part of the transaction Hg, a leading investor in European and
transatlantic software and services businesses will reinvest in the business,
reaffirming their confidence in Trackunit's continued growth and leadership in
construction digitalization.

 

Founded in 2003 and headquartered in Denmark, Trackunit is at the forefront of
the digital transformation of the construction sector, offering a verticalized
operating data platform, which generates valuable data-driven insights via an
industry leading data lake. The Company's solutions connect construction
equipment to the cloud, delivering data-driven insights that enhance
operational efficiency and reduce downtime. Trackunit's software and IoT
connectivity solutions uniquely support the entire construction ecosystem,
serving equipment manufacturers, rental companies, contractors and ecosystem
tech partners, and integrating the off-highway vehicle, connected site, and
mobile workforce. Trackunit serves a global diversified customer base of more
than 5,000 customers spanning the full construction value chain and has
approximately 400 employees.

 

Goldman Sachs Alternatives previously owned a majority stake in Trackunit
between 2015 and 2021, bringing unique insights and a proven partnership.
During the previous ownership period, Goldman Sachs leveraged its global
network and differentiated value creation capabilities to support meaningful
expansion of the Company's product capabilities and operations. With Goldman
Sachs Alternatives and Hg (invested since 2021), Trackunit has an ideal
shareholder base to continue investing in cutting-edge product development,
technology, people and further expansion.

 

A Shared Vision for the Future

 

Soeren Brogaard, CEO of Trackunit, commented: "We have built a strong
foundation together with Hg, advancing our offerings and working together with
customers to eliminate downtime in construction. The reinvestment from Hg,
alongside the new and proven partnership with Goldman Sachs Alternatives,
positions us to scale even faster. We remain fully committed to our purpose,
and with Goldman Sachs Alternatives' expertise and global reach, we are
excited to accelerate innovation and growth for our customers and partners
worldwide."

 

Michael Bruun, Partner and Global Co-Head of Private Equity at Goldman Sachs
Alternatives, said: "We are thrilled to partner once again with Trackunit's
leadership team, along with Hg, to build on their success and drive even
greater impact for customers globally. We see significant potential in
continuing to scale the business and further embedding digital solutions
across the construction ecosystem."

 

Scott Myers and James Robinson, Managing Directors and Co-Heads of European
Technology Private Equity at Goldman Sachs Alternatives, said: "Through its
unique software & data capabilities and customer-focused approach,
Trackunit has become a mission critical provider to the construction
ecosystem. We look forward to collaborating with management and leveraging the
Goldman Sachs Value Accelerator and global network to support the Company in
its next stage of growth."

 

Nick Jordan, Partner and Soren Holt, Director at Hg, stated: "Trackunit is a
prime example of how data-rich software businesses can capitalise on their
structural data advantage through AI and continue to expand their customer
proposition. Our investment in this business has been about fostering this
innovation and scaling a category-leading SaaS business. We are pleased to
continue supporting Trackunit alongside Goldman Sachs Alternatives, ensuring
the Company has the resources and expertise to realize its long-term purpose
and industry-changing ambitions."

 

Advisors and Closing Conditions

 

The selling shareholders were advised by Evercore, Skadden, Gorrissen
Federspiel, CMS and Deloitte.

Goldman Sachs Alternatives was advised by Goldman Sachs International, Morgan
Stanley & Co. International plc, Deloitte, White & Case, A&O
Shearman, and Sullivan & Cromwell.

 

The transaction remains subject to customary regulatory approvals and is
expected to close in early summer.

 

About Trackunit

 

Trackunit is a global technology company that connects construction through
one platform to create a living, evolving ecosystem that delivers data and
insights to the off-highway sector. With circa 3.5 million visible assets
connected, it uses technology to eliminate downtime, improve safety, and help
customers improve the bottom line in a sustainable, cost-effective way. Follow
us on LinkedIn
(https://www.linkedin.com/company/trackunit-a-s/?originalSubdomain=uk) .

 

For further information, please visit: https://trackunit.com/
(https://trackunit.com/)

 

 

About Private Equity at Goldman Sachs Alternatives

 

Goldman Sachs (NYSE: GS) is one of the leading investors in alternatives
globally, with over $500 billion in assets and more than 30 years of
experience. The business invests in the full spectrum of alternatives
including private equity, growth equity, private credit, real estate,
infrastructure, hedge funds, and sustainability. Clients access these
solutions through direct strategies, customized partnerships, and
open-architecture programs. The business is driven by a focus on partnership
and shared success with its clients, seeking to deliver long-term investment
performance drawing on its global network and deep expertise across industries
and markets. The alternative investments platform is part of Goldman Sachs
Asset Management, which delivers investment and advisory services across
public and private markets for the world's leading institutions, financial
advisors, and individuals. Goldman Sachs has over $3 trillion in assets under
supervision globally as of December 31, 2024. Established in 1986, Private
Equity at Goldman Sachs Alternatives has invested over $75 billion since
inception. The business combines a global network of relationships, unique
insight across markets, industries and regions, and the worldwide resources of
Goldman Sachs to build businesses and accelerate value creation across its
portfolios. Follow us on LinkedIn
(https://www.linkedin.com/showcase/goldman-sachs-assetmanagement/posts/?feedView=all)
.

 

Media Contacts

 

For Trackunit

Lærke Ullerup

lul@trackunit.com (mailto:lul@trackunit.com)

T +45 53703033

 

For Goldman Sachs Alternatives

Joseph Stein

Joseph.Stein@gs.com (mailto:Joseph.Stein@gs.com)

T +44 207 774 4080

 

For further details:

 

Hg

Tom Eckersley
 
 +44 (0)208 148 5401

 

HgCapital Trust

Laura Dixon and George Crowe
 
 
+44 (0)20 8396 0930

 

Cadarn

Lucy Clark

lucy@cadarncapital.com (mailto:lucy@cadarncapital.com)
 
 
                                                +44
(0)7984 184 461

 

Cadarn

David Harris

david@cadarncapital.com (mailto:david@cadarncapital.com)
 
 
                                                +44
(0)7368 883 211

 

About HgCapital Trust plc

 

HgCapital Trust plc, whose shares are listed on the London Stock Exchange
(ticker: HGT.L), gives investors exposure through a liquid vehicle to a
portfolio of high-growth private companies in the software and services
sector. The selection of new investments and creation of value in these
businesses are managed by Hg, an experienced and well-resourced private equity
firm with a long-term track record of delivering superior risk-adjusted
returns for its investors. For further details, please see
www.hgcapitaltrust.com.

 

The contents of the Hg, HgCapital Trust, Trackunit and Goldman Sachs
Alternatives websites are not incorporated into, and do not form part of, this
announcement.

 

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