The Strategist

Chinese Investors Bought Vertu

11/03/2015 - 15:03

EQT Swedish company, the former owner of Vertu, announced the completion of the transaction in October, and revealed the buyers - Chinese investors led by Godin Holdings.

Today it became known that the mystery takers of the British luxury class phones manufacturer Vertu. They turned out to be the Investment Fund Godin Holdings, registered in Hong Kong, and "certain other international investors." This was reported by The Financial Times. According to the newspaper, Vertu’s CEO Massimiliano Pogliani quitted his post during the course of the deal. Name of the new CEO will be announced "in the prescribed manner."

The transaction itself got public in the middle of October. Then, it was known that a «group of foreign investors» bought Vertu. Terms of the deal were not disclosed.

Vertu was created by Finnish company Nokia as a manufacturer of luxury phones in 1998. The company began selling their first phones in 2002. In 2012, as part of restructuring and asset sales, Vertu was handed to the Swedish investment company EQT for € 200 million. By 2015, the company has sold 450 thousand phones around the world, with average price of one unit amounted to £ 5 thousand in the past year. Production base and the company's headquarters are located in the town of Church Crookham in county Hampshire.

The market of luxury phones has improved markedly in recent years, and a new push to expand was given by Apple Inc., presenting a gold version of its iPhone. It is expected that the transaction will strengthen the position of Vertu brand in the Chinese market.