Carve Out - Incodia

TYPECarve-Out / Turnaround

DATEAugust 2018

SECTORBusiness Services

Longacre has experience with complex corporate carve-out. We know what it takes to transform a non-core subsidiary or division of larger corporates into a standalone entity

The business

Incodia is one of Europe’s leading providers of gift cards, loyalty cards, commercial cards and related fulfilment services, primarily serving high street and online retailers. The business was spun out of NASDAQ-listed CPI Card Group.

Transaction Challenges:

  • Transaction speed was a key priority for CPI Card Group, leaving limited time for due diligence
  • Challenges in the broader UK retail market meant that without a substantial restructuring, the business was on course to make losses
  • The business lacked standalone financial and operational systems and needed to be rebranded immediately after the transaction

Longacre Approach:

  • Longacre acted swiftly and were pragmatic in our approach to due diligence and closed a transaction within five weeks of agreeing exclusivity
  • We introduced Chris Huckle and Phil Hatton, growth-focused turnaround executives to the company who completed a restructuring programme to put it back on the path to profitability
  • Introduced a suite of new financial & operational systems in under six months and completed the rebrand well ahead of schedule


Development since acquisition

Incodia is now profitable and cash generative

The business won the industry body’s “Service Provider of the Year” award

Alan Lock, newly appointed CEO is leading the business and setting its long-term growth strategy as a completely standalone entity