Xtraice is a maker of eco-friendly, synthetic ice rinks, which has installed the world’s highest rink in Chicago and made rinks for hockey teams such as the Florida Panthers and the Detroit Redwings. When Caixa Capital Risc invested in the company in 2012, Xtraice had nine employees and a commercial structure based on a global sales team.
Following the investment, the venture capital firm helped boost the company’s international expansion plans, financed new product development and supported marketing efforts to establish the brand. The company deployed a new commercial structure based on regional sales teams, launched the rental business, while investing in product development to enhance technical features.
La Caixa helped Xtraice to change its commercial model from a reactive to a proactive approach.
Adrian Ortiz CEO, Xtraice
What did the business need?
- Support to enhance its commercial strategy
- Investment in the product to maintain technological advantage over competitors
- Development of new business models, including rentals
- Expansion into new international market
- Investment to position Xtraice as a high quality brand
How did private equity backing create lasting value?
- Identified new business models such as rentals to drive expansion
- Created an international sales team, based in Seville, to enter new markets
- Established a new incentive structure
- Established offices in US and entered Russia, Mexico and Ukraine
- Evaluated new opportunities, such as rinks for the home
What outcomes did private equity investment achieve?
- Doubled sales in 2013 to €3m (85% international and 50% non-EU)
- Doubled employee numbers to 18, creating nine new jobs
- Created a top, global brand
- Expanded the addressable market with new business models
- 100 Xtraice rings will be active worldwide in 2014, in four continents