Client challenge
South Africa’s leading courier service provider, The Courier Guy (TCG), was seeking to enhance its market position, stimulate innovation, boost operational efficiencies, and expand its service offerings to meet the evolving needs of customers in South Africa and beyond. It expressed the need to acquire an innovative acquisition funding package to fulfill its business growth objectives and exit at an attractive valuation.
Founded in 2000, TCG has grown to become South Africa’s leading same-day, last-mile e-commerce courier, with a nationwide footprint and a wide range of local, national, and international courier services. Its superior and reliable service offering over the past 24 years led to its year-on-year market share growth which ultimately solidified it as a highly attractive proposition for investors seeking a foothold in a market experiencing robust growth and transformation.
RMB's solution
In the first half of 2023, RMB embarked on a wide auction process, leveraging its international network and global partnerships to target a broad investor universe for the disposal of TCG from existing shareholders. Leading private equity firm, Adenia Capital emerged as the successful bidder, agreeing to a 100% acquisition of The Courier Guy.
RMB Corporate Finance facilitated the disposal and acted as financial adviser to the sellers. In addition, RMB Leverage Finance provided an acquisition funding package as transaction sponsor to Adenia.
"RMB tailored a well-structured deal that not only rewarded the sellers for their investment and commitment, but also positioned them to fully partake in the extraordinary financial gains resulting from the business' remarkable growth trajectory since entry. This complete acquisition showcases TCG's confidence in the sustained success and future prospects of the business," says Kirshna Nagar, Co-Head of Corporate Finance at RMB.
Client benefits
"Partnering with Adenia and its co-investors opens up unprecedented opportunities for us to enhance our service offerings, boost operational efficiencies and accelerate our growth as we look to set new standards within the logistics sector. We can't wait to see what the future holds for The Courier Guy as this collaboration unfolds," said Craig Pitchers, CEO of The Courier Guy.
| Client | The Courier Guy |
|---|---|
| RMB's role |
Corporate Finance Advisory |
| Sector | Transport and Logistics |
| Country | South Africa |
