Innovair Investment

17 September 2007

Pest control specialist gets injection from Direct Capital

Direct Capital today announced its seventh investment by Direct Capital Partners’ funds, confirming that the prospects for the private equity market in the current environment remain positive throughout Australasia, particularly as the firm provides both expansion and buyout equity.

Direct Capital has taken a cornerstone stake in Innovair Group Limited, who manufacture and market a range of world-class advanced automatic air dispensing systems.

Direct Capital’s investment has been completed from its Direct Capital Partners III and Pohutukawa Private Equity funds. Direct Capital has initially acquired a 28% shareholding in Innovair alongside the original shareholders.

Innovair is based on Robocan, a pest control product which is becoming an increasingly familiar name to consumers. Robocan is an automatic dispenser of pest repellent and pest control sprays. Innovair is making strong inroads into this market and has a competitive advantage with its dispensing technology – “advanced mist spray technology.”

To date the company has achieved strong sales growth in both New Zealand and Australia and Innovair intend to launch Robocan in South Africa this summer. The company is the number one selling pest control product in New Zealand with market share of 35%. Innovair is also developing a number of new products for application across a range of channels.

The company has undertaken IP protection in a number of offshore territories and further markets have been identified for expansion.

Direct Capital believes the company to have high growth potential and was attracted to the investment opportunity by the significant opportunities for international expansion, which will require further capital and support from shareholders.

Direct Capital will invest alongside company founder Nigel McLisky, Chairman Simon Barclay and Managing Director Lyndsey Wyeth, all who are significant shareholders and directors of Innovair.

Mark Hutton founding partner of Direct Capital said “Innovair has achieved a tremendous amount in Australasia and we look forward to our involvement helping to support continued growth. We believe this company to have high growth potential”.

Mark Hutton, Direct Capital Private Equity, +649 369 9223

Lindsay Wyeth, Innovair Group, +649 527 2756