Clearwater International advises owners of Sofacompany and Scandinavian Design on the sale to Procuritas Capital Investors V

Clearwater International has advised the owners of Sofacompany and Scandinavian Design, a high growth Danish furniture concept, on the sale to the Swedish private equity fund Procuritas Capital Investors V (“Procuritas”). The founders will remain as significant minority owners and will continue to manage the business.

The company was founded in 2008 by Cathrine and Christian Rudolph-Christensen. It specialises in the design, development and sales of sofas and other upholstery furniture. It started out being a pure play B2B supplier under the name Scandinavian Design, but in 2012 the dynamic couple challenged the existing industry by establishing Sofacompany; an urban and trend-based furniture brand – sold online and targeting and communicating with the customers through social media.

A unique integrated supply chain with a combination of internal designers and upcoming external designers, high-quality production setup in Vietnam and lean marketing and retail setup enables Sofacompany to offer the customers a unique value proposition. Key words are high design content and great quality at affordable prices via a simple and unique business concept: online sales supported by trendy showrooms in the urban areas. Today, Sofacompany is present in 10 countries with 15 showrooms, and in only six years annual sales have increased from €2m to an expected €40m in 2017.

Procuritas is a private equity fund focusing on the Nordic mid-market segment. Procuritas comes with invaluable experience of investing in web platforms based on their investment in Pierce, a leading European online retailer.

The Clearwater International team was led by Partners Lars Thorup and Andreas Lauth with support from Director Simon Bang Mikkelsen and Associate Casper Bech Christensen.

“In order to accelerate the development of the company, we are happy to partner with Procuritas due to their strong track record and passion for supporting companies to take the next step. I feel the company has reached a size where bringing in professional investors like Procuritas can really make a difference during the years to come.”

Christian Rudolph-Christensen, Founder, Sofacompany and Scandinavian Design

“We are excited about this opportunity to partner up with Catherine and Christian who have done a tremendous job in building the businesses to where it is today. We believe that the Group has a unique setup in providing high quality products with high design content at truly affordable prices, with great customer satisfaction rates. We believe there are great opportunities to continue the strong growth with solid profitability and we feel comfortable we can add significant value, given our experience from working with high growth businesses.”

Mattias Feiff, Partner at Procuritas Partners AB, advisor to Procuritas Capital Investors V

“Over the last few years the company has increased its sales on average by 50% per year. Naturally this has attracted strong interest from multiple partners. The owners’ intension was to identify a partner that shared the ambition of developing the company into a global brand. In Procuritas, Catherine and Christian have found a strong partner to realise their strategic goal and we look forward to following the company in the next few years.”

Lars Thorup, Partner, Clearwater International