LONDON, April 28 Private equity group Arle Capital said on Monday it had agreed to acquire Innovia Group, a British maker of materials to be used in England's new five and ten pound notes, for an enterprise value of 498 million euros ($689.11 million).
Innovia was previously owned by the Candover 2001 fund, which Arle has managed since 2009. Candover investors will receive a return of more than twice their original investment, Arle said.
Arle said it had raised fresh capital to fund the transaction from a syndicate of global investors.
Electra Private Equity investment said on Monday it had invested 40 million euros in the buyout.
Innovia, based in Wigton, northern England, earlier this year won a contract with the Bank of England to supply a substance that will be used in the Bank of England's new polymer banknotes. ($1 = 0.7227 Euros) (Reporting by Clare Hutchison; Editing by Simon Jessop)