Clearwater International advises TC Group on sale to MUSIC Group

Clearwater International Denmark has advised TC Group, one of the largest companies in the professional audio industry with a revenue of more than €100m, on its agreed (cross-border) sale to MUSIC Group.

Headquartered in Denmark, TC Group is the corporate parent of a collective of prestigious sound & audio technology brands including Lab Gruppen, Lake and TC Helicon. With operations spanning 4 continents and market share across the Musician, Broadcast & Production and Install & Tour sectors, the business is a global leader in producing innovative consumer and professional sound products.

TC Group also owns and manages TC Electronic, an established leader in broadcast, studio, mastering and production processing, and Tannoy, which has won “Best in Class” Awards for its HiFi products.TC Group’s strong focus on product innovation and IP creation is further demonstrated by its TC Applied Technologies company which is invested in cutting-edge semiconductor designs, networking and interface technology.

MUSIC Group, based in the Philippines, is one of the world’s largest holding companies for professional audio and music products brands. The addition of the Tannoy, Lab Gruppen and Lake brands will allow MUSIC Group to round out its professional install and touring sound offerings, while leading guitar effects and voice processing brands TC Electronic and TC Helicon perfectly complement MUSIC Group’s Bugera guitar tube amplifier brand and highly successful Behringer prosumer division.

MUSIC Group plans to invest heavily in positioning TC Group’s brands at the top of the industry, and the combined businesses will have a powerful influence on the professional audio sector.

Clearwater International partners Søren Nørbjerg and Per Surland advised the vendors on the sales process, during which some of the largest industry players showed high levels of interest in bidding for TC Group.

“Clearwater International was assigned to run a full global sales process on TC Group, including financial as well as industrial sponsors. TC is a global business in the audio industry, operating within 4 verticals, using a number of different respected brands. Clearwater quickly managed to understand the complexity of the business and the industry, which was critical to us. The team facilitated an efficient and well managed process and the outcome surely exceeded our expectations. I would not hesitate in recommending Clearwater International. They are on one hand easy to work with, but can also be very firm – when needed – in order to reach the right result.”

Anders Fauerskov, CEO of TC Group

“We are delighted to have completed the sale of TC Group to Music Group. TC Group had shown impressive growth over the last years, and had come to a stage where a number of different and attractive growth opportunities could be pursued. Facing these different alternatives, it was logical at the same time to consider if the future development of TC Group could benefit from a change in ownership. We were happy to be elected as financial advisor to the sellers in this process.”

Per Surland, partner at Clearwater International

“MUSIC Group stands for relentless focus on innovation, business transformation and overall IP creation. Since the acquisition of Midas, Klark Teknik and Turbosound, we have been continuously pursuing brands that complement the mixing console, processing and loudspeaker excellence offered by these historic brands. Throughout our search, TC Group has clearly stood out as the ideal match because of their world-class brands, impressive intellectual property, sterling reputation and first-class team of people. I am very proud to welcome the TC Group team into our family.”

Uli Behringer, CEO of MUSIC Group