Elbrus Capital of Elbrus Capital

Assets

The size of fund for February, 2016 was $550 million. At this time Elbrus Capital does not invest large volume of money in assets solely, and tries to attract partners.

For February, 2016 Elbrus Capital is a co-owner:

• service of search of housing Cian.ru
• Strela-Telecom Internet service provider,
• operator of express delivery SPSR Express,
• service for electronic storage of archives of documents OSG Records Management,
• networks of laundries Blesk InCare,
• supplier of the corporate products "Joint Catering Group",
• "National medical network"
• B2B-Center marketplace
• the asset in the field of recruiting business is the Intercomp company which is engaged in personnel outsourcing (it is sold to Sberbank in 2018).

Also Elbrus has media assets: packets in Media-1 TV company (is a co-owner of the YuTV television holding managing broadcasting channels Yu and Disney), shares in the Select Radio group (owns regional radio stations).

History

2021: Creation of fund for $600 million for investment into IT, finance and pharmaceutics

On January 21, 2021 it became known of creation "Elbrus the Capital" the third fund with a target amount of $600 million. Funds from Elbrus Capital Fund III will be allocated in the projects working in such areas as digital technologies and the Internet, consumer goods and services, the financial sector and pharmaceutics. Read more here.

2020

Participation in consortium on purchase of a share in Banki.ru

In November, 2020 founders of Банки.ру company Philip and Kirill Ilyin-Adayev sold the shares of Internet holding to consortium of investors led by Elbrus Capital and Winter Capital funds.

"The consortium of investors led by Elbrus Capital and Winter Capital funds closed the deal on acquisition of stocks of Банки.ру, the largest financial marketplace of Russia. As the seller founders of the company - Philip and Kirill Ilyin-Adayev and also Elena Ishcheeva who after closing of the transaction left business acted. The second shareholder, Russia Partners fund, saved the share", the statement says.

Within the transaction all issues between founders of Банки.ру and Russia Partners, said in the press release were settled.

"We are happy with terms of transaction and also the fact that we sold the share to this consortium of investors; to us it is not indifferent in whose hands there will be a company to which we gave 16 years of life, - the press service cites words of the founder of Банки.ру Philip Ilyin-Adayev. - We see that new investors separate our values - providing the most complete and objective information to visitors. Are sure that Банки.ру will be become for them good investment".

The senior partner of funds "Elbrus capital" Dmitry Kryukov noted that the fund highly appreciates the potential of Банки.ру which has a recognizable brand and strong relationship with a large number of partners - financial institutions.

Negotiations on participation in investment of 1.5 billion rubles into SKB Kontur

The Russian Direct Investment Fund (RDIF) together with RTP Global and private equity funds of Elbrus Capital and Baring Vostok is going to invest 1.5 billion rubles in SKB Kontur. On June 19, 2020 the RBC edition with reference to the head of RDIF Kirill Dmitriyev reported about it. Read more here.

2019: Attraction of $10 million investments

On December 12, 2019 about $10 million investments from Elbrus Capital of II fund and Guard Capital venture fund became known of attraction by Yclients service. Read more here.

2018: Sale of 100% of stocks of Intercomp to Sberbank

On November 27, 2018 Sberbank announced TAdviser closing of the transaction on acquisition of Intercomp company, the player of outsourcing market of business processes in Russia. The bank took 100% of shares of the company at group of investors led by Elbrus Capital fund. The parties signed legally binding documents in September, 2018. The transaction was closed after receiving regulatory approvals, including from the Bank of Russia and FAS. Read more here.

2016: Purchase of HeadHunter for 10 billion rub at Mail.ru Group

In February, 2016 it became known that Mail.Ru Group sold the HeadHunter portal for 10 billion rubles the Buyer there was a group of investors led by a private equity fund of Elbrus Capital.

The transaction was closed on February 25. All amount will be paid by two tranches: the first, in the amount of 5.5 billion rubles, is already received in Mail.Ru Group, the second, in the amount of 4.5 billion rubles, will be received till April 30, 2016.

The HeadHunter company possesses the recruiting hh.ru portal, largest in Runet, and the website Career.ru. In addition HeadHunter managed the recruiting direction of Mail.Ru Group holding — "Rabota@mail.ru" (this portal will remain under control of HeadHunter after separation from Mail.Ru Group, specified the CEO of HeadHunter Mikhail Zhukov in a conversation with RBC).

Mail.Ru tried to sell an asset to Elbrus Capital fund since fall of 2014, however in April, 2015 told investors that the transaction broke. "Elbrus to the Capital" was not succeeded to attract money in the West to investments into the Russian assets in the conditions of the difficult political relations of Russia and the West, told RBC the source close to one of the parties of the transaction a year ago. In the fall of 2014 of the party discussed the potential transaction on HeadHunter for the same 10 billion rubles.

Since fall of 2014, in fact, the structure of a pool of buyers where in addition to "Elbrus of the Capital" the Russian and foreign funds enter was reversed, the managing partner "Elbrus of the Capital" Dmitry Kryukov told RBC. The initial agreement was signed with Mail.Ru Group in November, 2014, and the transaction has to be closed in February the 2015th. However in December, 2014 the ruble sharply fell, and the foreign investors entering into syndicate decided not to participate in purchase of an asset. Nearly a year left at "Elbrus of the Capital" on search of new partners in the transaction. According to Vedomosti, the Goldman Sachs bank became one of investors.

Natalia Godzhayeva, the CEO of the competitor of hh.ru — the Superjob.ru portal, considers a total sum of the transaction "quite modest". "But also it is quite clear: an economic situation in the market in general now not for benefit of the seller" — she says.

"HeadHunter is a ruble asset, at them indicators of revenue and EBITDA for those two years practically did not change that negotiations on purchase therefore also the price did not change are conducted" — the managing partner "Elbrus of the Capital" Dmitry Kryukov explains.

HeadHunter revenue in 2015 decreased by 1.5%, up to 3 billion rubles, EBITDA dropped by 2.5%, up to 1.5 billion rubles.

HeadHunter, being a non-core asset within Mail.Ru Group, almost did not develop, the analyst of FC Otcrytiye Alexander Vengranovich notes. For this reason the asset is sold with much smaller coefficient to EBITDA (6.6 to EBITDA for 2015), than at all Mail.Ru Group. The transaction is profitable to both parties: HeadHunter will be able to develop within "Elbrus of the Capital", and Mail.Ru Group will receive enough cash to repay an outstanding debt for VKontakte and at the end of 2016 to begin to pay dividends, Vengranovich specifies.

Mail.Ru Group took the credit from Gazprombank in the amount of 22.2 billion rubles for purchase of 48% of social network "VKontakte" from UCP fund. As of December 31, 2015 the size of an unpaid debt was 6.9 billion rubles, said in the annual report of the company.

Elbrus Capital is connected by the old relations with Mail.Ru Group. In 2007 about 5% of Mail.Ru Group (then it was called Digital Sky Technologies) were purchased by Renaissance Private Equity fund. In 2009 Hooks and his partners redeemed management company of fund from Renaissance. Together with it they received also assets, including Mail.Ru Group. After restructuring of group the share "Elbrus of the Capital" in Mail.Ru was blurred to less than 1%.

2015: Purchase of 27% of stocks in Cian.ru service

In January, 2015 the Elbrus Capital fund together with consortium of investors became the owner of 27% of stocks of Cian Group company which manages service for search of housing of Cian.ru. The cost of a packet was not disclosed.

Three managers set up foundation

Founders of fund are the former managing director of Renaissance Capital Dmitry Kryukov, the ex-president of A1 investment company (enters into consortium "Alfa Group") Alexander Savin and the managing director of the Dutch fund Waterland Private Equity Robert Tilin.