Buffet Group Acquires B&S GmbH

Buffet Group has completed the acquisition of B&S GmbH, a German family-controlled company which is the leading German brass musical instrument manufacturer. The enterprise value of B&S GmbH equals to €10 million ($12.96 million), which represents 6.8 times 2012 estimated EBITDA.

Founded 250 years ago, B&S GmbH is one of the only two musical instrument manufacturers worldwide producing the whole range of brass instruments. It has four old, established brands commanding very high recognition amongst musicians: B&S, Melton Meinl Weston, Hans Hoyer and Scherzer. B&S GmbH is the number one manufacturer in the world of high end background brass instruments, i.e. tubas and euphoniums, and also one of the largest producers of French horns. B&S GmbH production facility is located in the same place as Buffet Group’s German operations in Markneukirchen, Saxony. 2012 estimated revenues amount to €15 million ($19.44 million).  B&S products are now sold through Buffet Group’s own international distribution network.

Gerhard Meinl, the main shareholder and former CEO of B&S GmbH, has joined the supervisory board of Buffet Group to which he will act as a non-executive senior advisor. Gerhard Meinl has reinvested his proceeds from the sale into Buffet Group newly issued shares.

To view a video detailing specifics of the acquisition, see below:

http://www.youtube.com/watch?v=DKNhCJyaISM