Private equity firm Creador, through its affiliate Cyrilla Ltd, has invested RM57 million ($13 million) for an undisclosed stake in Bake With Yen (BWY) Group, marking its tenth venture deal in Malaysia. Creador has totally invested in 26 firms.
“BWY is indeed an exceptional business with an established brand name, a wide range of products and sizeable operations in both East and West Malaysia. With the second generation of BWY’s founding family taking over the helm, it is well positioned for the next phase of growth,” founder and CEO of Creador, Brahmal Vasudewan, said in a statement.
BMY was founded in 1987 by Yen Khong Moi, and since then has grown to have 15 outlets in East and West Malaysia. BMY’s customers are casual retailers, home and professional bakers, and commercial businesses such as hotels, restaurants, cafes, and bakery chains.
Yen said that a common vision and the firm’s strong retail expertise will help drive the business to the next level.
“Working together and with the integration of our business in both Peninsular and East Malaysia, this would allow the new company to have better economies of scale to grow its market share and thus offer tremendous value not only to our loyal customers but also introducing new patrons to our stores,” she stated.
Creador is a private equity firm focused on long-term investments in growth-oriented businesses in South Asia and Southeast Asia. It is one of the most active PE firms in Southeast Asia and India, having closed its third fund this year and has already backed 4-5 companies including its recent investment in Paras Healthcare.
“We look at businesses that sell from one to many, B2C businesses that are targeting a broad base of consumers. In particular we are looking at financial services, branded products, retail, healthcare and media, which are reflective of the kinds of investments we would be doing,” Brahmal had told this portal.
The company has also recently announced a couple of exits this year: from Somany Ceramics after generating a return of 5.3x and an IRR of 77 per cent in INR terms, and from GHL Systems after generating a return of 2.8x and an IRR of 40 per cent in MYR terms.