JRC Czech
Country: Czechia
Region: Praha
Investors: Genesis Capital/GPEF II
When Genesis bought the Czech computer game retailer JRC from then struggling British retailer Game Group it saw an opportunity to improve profits and put in place a clear medium-term strategy for the company. Game Czech, as it was then known, was the leading retailer in its market with 30 outlets, but lagged on many international standards.
Genesis has strengthened the management team by bringing back the group’s founder Slavomír Pavlíček as a shareholder in the business, and has reinstated the JRC name which had a loyal following. It has also set about expanding into other countries where interest in gaming is high, and within months of the initial takeover, bought Slovakia’s Brloh which had 11 stores across the neighbour state.
Marek Měrka
CEO - JRC Czech
Genesis Capital acquired the Company with a clear focus on further growth through both geographical expansion and improvements in operational efficiency. The backing of a strong financial investor enabled us to explore additional growth opportunities for our business.
50
new jobs, up to 140
41
stores, up from 30
What did the business need?
Stronger and more stable management team
Establishment of a clear medium-term strategy
Finances to execute international growth plan
How did private equity backing create lasting value?
Set a clear strategic direction for the business, benchmarked against industry standards
Acquired a struggling games retailer in Slovakia to support international growth
Strengthened the operational management team
Sold minority stake to company founder, further strengthening industry experience and expertise
Expanded capacity and improved efficiency
What outcomes did private equity investment achieve?
Increased revenues by 15% annually
Cemented position as leading games retailer in Czech Republic and Slovakia
Increased the number of shops from 30 to 41
Added 50 new jobs taking total employment to 140
Investors
