3i

History

The company was formed in 1945, as the Industrial and Commercial Finance Corporation (ICFC), by the Bank of England and the major British banks to provide long-term investment funding for small and medium-sized enterprises. Its foundation was inspired by the Macmillan Committee, and resulted from the recognition in the 1930s, given new impetus in the postwar era, that smaller businesses faced a gap in available corporate finance due to banks being unwilling to provide long-term capital and the companies being too small to raise capital from the public markets.

During the 1950s and 1960s, and particularly after 1959 when the shareholder banks allowed it to raise external funds, ICFC expanded significantly. In 1973 ICFC acquired Finance Corporation for Industry, a sister company also formed in 1945 which focused on finance for large companies, and was renamed Finance for Industry (FFI). In the 1980s, FFI became a leading provider of finance for management buyouts, and expanded internationally. In 1983 the company was renamed Investors in Industry, commonly known as 3i.

3i Group was created in 1987 when the banks sold off their stakes to form a public limited company. In 1994 the company was floated on the London Stock Exchange with a market capitalisation of £1.5 billion.

Operations

3i invests in mid-market buyouts, growth capital (minority) and infrastructure. Sectors invested in are business and financial services, consumer, industrials and energy, and healthcare.

Current investments

• ACR Capital Reinsurance: 3i bought into this re-insurance business in 2006.
• Action: in June 2011 3i bought a majority stake in this Dutch discount retailer.
• Audley Travel: In December 2015 3i invested in Audley Travel, the lead operator in the tailor-made travel market.
• BoConcept: Furniture company purchased in 2016
• ESP Utilities Group: In June 2017, 3i invested in ESP Utilities Group, one of UK’s largest and longest established Independent Gas Transporters (IGT) and Independent Distribution Network Operators (IDNO).
• Formel D: In 2017, 3i invested €155 million in Formel D, a German car parts company, while CITIC invested €72 million.
• George Best Belfast City Airport
• Global Cloud Xchange
• Infinis
• Q Holding Co: 3i are due to purchase the company's three main operating businesses, Qure Medical, QSR and Quadra Tooling and Automation.
• Regional Rail
• Scandlines: 3i purchased a 100% stake in November 2013, reduced to 35% in 2018
• Smarte Carte, purchased 2017
• TCR International
• VNU Business Media, acquired 2006
• Weener Plastic Packaging: in June 2015 3i announced an investment in Weener Plastic Packaging Group}}

Former investments

• Agent Provocateur (80%), purchased 2007, sold 2017
• Boxer TV Access (30%) purchased 2005, sold 2008
• Chiltern Railways (26%) purchased 1996, sold 1999
• DNA (13%) purchased 2007, sold 2009
• Dockwise, purchased 2006, sold 2009
• ERM (57%) purchased 2001, sold 2005
• Eversholt Rail Group, purchased 2010, sold 2015
• Foster + Partners, purchased 2007, sold 2014
• Freightliner (38%), purchased 1996, sold 2008
• Giraffe World Kitchen (40%), purchased 2006, sold 2013
• Go, purchased 2001, sold 2002
• Great Western Holdings (25%) purchased 1996, sold 1998
• HSS Hire, purchased 2003, sold 2007
• Little Sheep Group (11%), purchased 2006, sold 2009
• Mayborn Group, purchased 2006, sold 2016
• MWM, purchased 2007, sold 2010
• NSL, purchased 2005, sold 2010
• Petrofac (16%), purchased 2002, sold 2005
• Salamander Energy (15%), purchased 2005, sold 2006
• SLR Consulting (34%), purchased 2004, sold 2008
• Target Express (70%), purchased 2000, sold 2006
• TelecityGroup (45%) purchased 1998, sold 2010
• Titan Airways, sold 2013
• Tramlink (20%), purchased 1996, sold 2008
• Travellers Fare purchased 1989, sold 1992}}

References

References

1. (1973-11-01). "3i Group plc overview - Find and update company information - GOV.UK".
2. "Our People".
3. "Annual Results 2025". 3i.
4. "Why join 3i?". 3i Group.
5. The Times, 24 January 1945
6. The Times, 5 July 1983
7. "Our History". 3i.
8. [http://www.altassets.net/private-equity-news/3i-and-khazanah-lead-investment-in-acrs-620m-inaugural-private-placement.html 3i and Khazanah lead investment in ACR’s $620m inaugural private placement] Alternative Assets, 1 December 2006
9. [https://web.archive.org/web/20110913074921/http://www.businessweek.com/news/2011-08-18/3i-proposes-preliminary-terms-for-loans-to-back-action-buyout.html 3i Proposes Preliminary Terms for Loans to Back Action Buyout] [[Bloomberg Business Week]] 18 August 2011
10. Ratcliffe, Madeline. (21 December 2015). "3i hopes Audley Travel will take off with £159m investment". [[City AM]].
11. "Portfolio: Boconcept". 3i.
12. "About ESP".
13. Turvill, William. (17 July 2017). "UK private equity giant 3i sells stake in Barcelona-based funeral services company Memora". [[City AM]].
14. [https://www.3i.com/portfolio?sector=&region=&business_line=2275&q= Portfolio] 3i
15. (20 November 2014). "Sale to private equity firm should bolster Q Holding Co.". Crain's Cleveland Business.
16. [https://www.ft.com/content/d61b6dec-1bb3-11e3-94a3-00144feab7de 3i offers to take full control of Nordic ferry group Scandlines] ''[[Financial Times]]'' 12 September 2013
17. [https://web.archive.org/web/20191220115040/https://www.reuters.com/article/us-3i-group-divestiture-idUSKBN1H20XI 3i Group sells ferry operator Scandlines, buys backs stake] ''[[Reuters]]'' 26 March 2018
18. [https://web.archive.org/web/20201127053452/https://www.smartecarte.com/press/3i-announces-first-north-american-infrastructure-transaction-investment-smarte-carte/ 3i Announces First North American Infrastructure Transaction with Investment in Smarte Carte] [[Smarte Carte]] 16 October 2017
19. [https://www.reuters.com/article/uk-vnumedia-restructuring-sb-idUKTRE5721IN20090803 HG Capital secures stake in 3i-owned VNU Media] ''[[Reuters]]'' 3 August 2009
20. [http://www.3i.com/news/corporate-news/3i-invests-%E2%82%AC250m-weener-plastic-packaging-group 3i invests €250m in Weener Plastic Packaging Group] {{Webarchive. link. (7 June 2015 3i 4 June 2015)
21. [https://web.archive.org/web/20220623132021/https://www.independent.co.uk/news/business/news/agent-provocateur-sold-to-private-equity-firm-3i-for-pound-60m-400593.html Agent Provocateur sold to private equity firm 3i for £60m] ''[[The Independent]]'' 16 November 2007
22. [https://web.archive.org/web/20170224155713/https://news.sky.com/story/3i-races-to-clinch-sale-of-struggling-agent-provocateur-10779173 3i races to clinch sale of struggling Agent Provocateur] ''[[Sky News]]'' 23 February 2017
23. [https://web.archive.org/web/20220623133542/https://www.3i.com/media-centre/corporate-and-portfolio-news/2008/3i-divests-stake-in-digital-tv-operator-boxer/ 3i divests stake in digital TV operator Boxer] 3i 19 November 2008
24. MBO preferred for Chiltern ''[[Rail Business Intelligence. Rail Privatisation News]]'' issue 32 13 June 1996 page 1
25. Last management buy-out rail franchise prepares to be sold ''[[Rail (magazine). Rail]]'' issue 350 10 February 1999 page 11
26. [https://web.archive.org/web/20220623135748/https://www.3i.com/media-centre/corporate-and-portfolio-news/2009/3i-divests-interest-in-finnish-telecoms-operator-dna-oy/ 3i divests interest in Finnish telecoms operator DNA Oy] 3i 18 December 2009
27. [https://www.reuters.com/article/dockwise-listing-idUSLJ71484020091019 Dockwise to list in Amsterdam, 3i exits] ''Reuters'' 19 October 2009
28. [https://web.archive.org/web/20220623092523/https://www.theguardian.com/business/2011/may/15/erm-charterhouse-capital-partners Eco adviser ERM sold to Charterhouse Capital Partners] ''[[The Guardian]]'' 16 May 2011
29. News in Brief ''[[Railway Gazette International]]'' December 2010 page 21
30. Eversholt sold ''[[Today's Railways UK]]'' issue 159 March 2015 page 14
31. [https://web.archive.org/web/20220623113400/https://www.architectsjournal.co.uk/news/fosters-once-again-wholly-owned-after-3i-buy-out Foster once again wholly owned after 3i buy-out] ''[[Architects' Journal]]'' 30 June 2014
32. Manager's bid wins Freightliner ''Rail'' issue 279 22 May 1996 page 6
33. Bahrain investment firm Arcapita buys Freightliner ''Rail'' issue 595 2 July 2008 page 19
34. [https://web.archive.org/web/20210223005233/https://www.3i.com/media-centre/corporate-and-portfolio-news/2006/3i-invests-in-giraffe-restaurant-chain/ 3i invests in Giraffe restaurant chain] 3i 23 October 2006
35. [https://web.archive.org/web/20210305230958/https://www.theguardian.com/business/2013/mar/13/tesco-buys-giraffe-child-friendly-restaurants Tesco buys child-friendly restaurant chain Giraffe for £50m] ''The Guardian'' 13 March 2013
36. [https://news.bbc.co.uk/2/hi/business/1388980.stm BA sells Go for £100m] ''[[BBC News]]'' 14 June 2001
37. Wisconsin scoops freight as franchisees are chosen ''Railway Gazette International'' February 1996 page 69
38. Great Western Trains taken over by FirstGroup ''[[The Railway Magazine]]'' issue 1165 May 1998 page 11
39. [https://www.theguardian.com/business/2003/dec/17/8 Davis offloads HSS tool hire to 3i] ''The Guardian'' 17 December 2003
40. [https://web.archive.org/web/20220623110114/https://www.3i.com/media-centre/corporate-and-portfolio-news/2007/hss-rejuvenated-and-sold-to-aurigo-and-och-ziff/ HSS rejuvenated and sold to Aurigo and Och-Ziff] 3i 13 June 2007
41. [https://web.archive.org/web/20220623134822/https://www.3i.com/media-centre/corporate-and-portfolio-news/2009/3i-concludes-successful-partnership-with-little-sheep/ 3i concludes successful partnership with Little Sheep] 3i 25 March 2009
42. [https://web.archive.org/web/20220623204512/https://www.penews.com/articles/three-i-sells-mayborn-after-ten-year-holding-period-20160429 3i Sells Mayborn After 10-Year Holding Period] ''Private Equity News'' 29 April 2016
43. [https://web.archive.org/web/20160209233549/https://www.reuters.com/article/us-mwm-caterpillar-idUSTRE69L1IF20101022 Caterpillar buys 3i's engine maker MWM for $810 million] ''Reuters'' 22 October 2010
44. Webb, Quentin. (21 September 2010). "Green light for sale of UK parking-ticket firm NSL".
45. [https://web.archive.org/web/20220623114341/https://www.3i.com/media-centre/corporate-and-portfolio-news/2005/3i-backed-petrofac-in-742m-flotation-on-london-stock-exchange/ 3i backed Petrofac in £742m flotation on London Stock Exchange] 3i 4 October 2005
46. [https://web.archive.org/web/20220623121336/https://www.3i.com/media-centre/corporate-and-portfolio-news/2006/3i-backed-salamander-energy-in-405m-ipo-on-london-stock-exchange/ 3i backed Salamander Energy in $405m IPO on London Stock Exchange] 3i 5 December 2006
47. [https://www.thetimes.com/uk/environment/article/3i-to-snap-up-share-of-slr-consulting-cc27ng0359j 3i to snap up SLR Consulting] ''[[The Times]]'' 8 March 2008
48. [https://www.manchestereveningnews.co.uk/business/business-news/target-on-road-to-250m-float-1066259 Target on road to £250m float] ''[[Manchester Evening News]]'' 30 June 2005
49. [https://web.archive.org/web/20130618103649/http://3i.com/news/corporate-news/3i-divests-stake-telecity-group 3i divests stake in Telecity Group] 3i 11 February 2010
50. [https://web.archive.org/web/20220623094048/https://aviationweek.com/air-transport/safety-ops-regulation/titan-airways-management-buyout-completed Titan Airways' management buyout completed] ''[[Aviation Week & Space Technology]]'' 22 February 2013
51. Croydon Tramlink go-ahead ''Railway Gazette International'' September 1996 page 547
52. Croydon buy out ''Railway Gazette International'' April 2008 page 212
53. Travellers Fare ''The Railway Magazine'' issue 1055 March 1989 page 144