3i Group plc is a British multinationalprivate equity and infrastructure investment company based in London, England.3i is listed on the London Stock Exchange and is a constituent of the FTSE 100 Index.
History
The company was formed in 1945, as the Industrial and Commercial Finance Corporation (ICFC), by the Bank of England and the major British banks to provide long-term investment funding for small and medium-sized enterprises.Its foundation was inspired by the Macmillan Committee, and resulted from the recognition in the 1930s, given new impetus in the postwar era, that smaller businesses faced a gap in available corporate finance due to banks being unwilling to provide long-term capital and the companies being too small to raise capital from the public markets.[5]
During the 1950s and 1960s, and particularly after 1959 when the shareholder banks allowed it to raise external funds, ICFC expanded significantly. In 1973 ICFC acquired Finance Corporation for Industry, a sister company also formed in 1945 which focused on finance for large companies, and was renamed Finance for Industry (FFI). In the 1980s, FFI became a leading provider of finance for
management buyouts
, and expanded internationally.
In 1983 the company was renamed Investors in Industry, commonly known as 3i.[6]
3i Group was created in 1987 when the banks sold off their stakes to form a public limited company. In 1994 the company was floated on the London Stock Exchange with a market capitalisation of £1.5 billion.[7]
Operations
3i invests in mid-market buyouts, growth capital (minority) and infrastructure. Sectors invested in are business and financial services, consumer, industrials and energy, and healthcare.
Current investments
• Action: in June 2011 3i bought a majority stake in this Dutch discount retailer.[8]
• Audley Travel: In December 2015 3i invested in Audley Travel, the lead operator in the tailor-made travel market.[9]
• BoConcept: Furniture company purchased in 2016[10]
• ESP Utilities Group: In June 2017, 3i invested in ESP Utilities Group, one of UK’s largest and longest established Independent Gas Transporters (IGT) and Independent Distribution Network Operators (IDNO).[11]
• Formel D: In 2017, 3i invested €155 million in Formel D, a German car parts company, while CITIC invested €72 million.[12]
