August 3, 2021 | Deals

GCA Altium advises YT Industries on its partnership with Ardian

GCA Altium acted as exclusive financial advisor to YT Industries, a global high-performance mountain bike brand, on signing a partnership agreement with Ardian, a world-leading private investment house.

YT Industries, headquartered in Hausen, Germany, was founded in 2008 by Markus Flossmann and Jacob Fatih with the vision to provide high-quality and affordable dirt jump bikes for professional cyclists and bike enthusiasts. Since its inception, the company has evolved into an international and highly respected premium brand in the performance mountain bike (MTB) segment. YT currently offers a diverse range of 40 MTBs, designed for various categories of mountain biking (i.e. downhill, enduro, all-mountain, trail, dirt), as well as complementary apparel and accessories. In addition, YT launched its highly successful e-MTB model ‘DECOY’ in 2019, which now accounts for a significant share of sales. The company plans to enhance customer experience and service, integrate data-driven decision making, and expand business across Europe and the US, which is the largest MTB market in the world.

With a pure online direct-to-consumer business model, YT is able to offer highest quality performance MTBs with an excellent value for money proposition. YT bikes have led athletes to major competition titles such as World Championships and World Cup wins. Currently several world-class athletes, such as elite downhill professionals Dakotah Norton from America and David Trummer from Austria, are using YT bikes in their training and competitive races.

YT and Ardian have signed a partnership agreement to drive YT’s growth. Ardian will invest in YT together with the company founders Markus Flossmann and Jacob Fatih – alongside the management team. The management team, led by former Amazon manager Sam Nicols, who joined the company in 2020, and the founder and CVO Markus Flossmann, supported by Jacob Fatih’s business incubator Crealize, will focus on building out the company’s product portfolio, whilst simultaneously bringing YT’s brand and customer experience to the next level. The partnership with Ardian will ultimately allow YT to undertake further product development, accelerate internationalisation plans, and support the focus on customer centricity of YT’s pure online business model.

Markus Flossmann, Co-Founder and CVO of YT Industries, said: “We at YT are passionate mountain bikers, and we develop our bikes with heart and soul. Thanks to an outstanding team, YT has become one of the world’s most admired brands in the mountain bike space. Together with Ardian as our partner, we are looking forward to taking the company to the next level by expanding our business internationally and coming even closer to our customers. To us it is critical to stay true to our brand and stick to our core values, which made us successful: focus on quality, innovation, and our community. We are excited for the growth that this new partnership heralds and leading the company into the next chapter of its young history.”

Sam Nicols, CEO of YT Industries, added: “We are already moving full speed ahead with our new strategy of increased customer focus, underpinned by data-driven decision making, which will help us become even more successful in offering the best products at the right time with a seamless customer experience. I strongly believe that with Ardian as a partner with a strong international platform, Markus’ product and design expertise, and our new focus on operational excellence and e-commerce, we will accelerate taking YT to the next level.”

Dirk Wittneben, Head of Ardian Expansion DACH, said: “The combination of one of the most popular performance MTB brands and the underlying structural growth of the international MTB markets provides significant growth potential for YT. The company’s innovative and ambitious founders and management team combine strong passion for the product, a highly successful marketing approach as well as an outstanding online direct-to-consumer distribution model. We are thrilled to be able to support Sam, Markus, and the wider management team to help them achieve their envisaged growth path.”

The transaction remains subject to the authorisation by the competition authorities. The financial terms of the transaction were not disclosed.

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