WWW.OMNESCAPITAL.COM No. 32 - DECEMBER 2017 / THE OMNES NEWSLETTER Analysis Laurent Saint-Martin, MP for Val-de-Marne and Vice-President of the Finance Committee of the National Assembly p. 15 3UR¿l H Philippe Barre, Founder of Darwin p. 16 7UHnGs Deep-tech firms on the rise, back to the future p. 04 ([SHUWisH Batiweb Group, surfing the wave of digital intermediation p. 06 1HZs Venture Capital MesDocteurs, TrustYou, Trusted Shops, AB Tasty p. 08 Infrastructure Green Building Partnership with ETPO Group p. 10 Partnership with Evolution p. 11 Small Cap Buyout & Growth Capital InCa, Aryes, APF p. 12 Mid Cap Buyout & Growth Capital ANI p. 14 Private Debt Fondis Bioritech, Tiama p. 14 Expertise Batiweb Group Surfing the wave of digital intermediation p.06
Transcript
WWW.OMNESCAPITAL.COM
No. 32 - DECEMBER 2017 / THE OMNES NEWSLETTER
AnalysisLaurent Saint-Martin, MP for Val-de-Marne and Vice-President of the Finance Committee of the National Assembly p.�15
lPhilippe Barre, Founder of Darwin p.�16
n sDeep-tech firms on the rise, back to the future p.�04
isBatiweb Group, surfing the wave of digital intermediation p.�06
sVenture Capital MesDocteurs, TrustYou, Trusted Shops, AB Tasty p.�08 Infrastructure Green Building Partnership with ETPO Group p.�10 Partnership with Evolution p.�11
Small Cap Buyout & Growth Capital InCa, Aryes, APF p. 12Mid Cap Buyout & Growth Capital ANI p.�14Private Debt Fondis Bioritech, Tiama p.�14
Expertise
Batiweb Group Surfing the wave of digital intermediation p.06
P.�02
Editorial BY FABIEN PRÉVOSTFriday 20 October 2017
A recurring dilemma for organisations and managers is whether to opt for a management style based on conviction or humility. Authoritarianism or a free-will culture? Broad or narrow range? Ultra-standardised practices or “adaptive flexibility”? A centralised price policy or a diverse set of sales parameters?
Take business models, for example. To control costs, the natural instinct is to streamline (as in Henry Ford’s famous words, “A customer can have a car painted any colour he wants as long as it’s black”). The idea is to simplify processes and make things uniform, establishing standards and applying them systematically (as with the first generations of product concepts in mass consumption and retail, such as McDonald’s and Coca-Cola). The advantages are legion, in production, reporting and sales. For example, high volumes serve to cut costs, boost margins and manage the market share of the competition. Large-scale advertising bolsters demand and counters consumer disloyalty. As long as the cost/efficiency ratio of advertising remains high, all is well. But things get complicated if it doesn’t. Consumer trends in the last half century have demonstrated the limits of the
“single model” system. Fast-food chains will adapt their meals and concepts to local conditions, while high-profile mass retailers will segment their markets and broaden their ranges. But how far do you have to go to find the optimum point?
The same questions apply to management methods. The highly centralised organisations of the early industrial era have given way today, to varying degrees and in various guises, to organisations seeking to foster initiative and empowerment, implementing simplified hierarchical levels, sharing rather than partitioning information, and drawing on all employees for ideas and sources of improvement. Should the former be shunned in preference for the latter?
As usual, the truth lies in a well-balanced combination of extremes.
Our columns do not claim to give lessons in strategy. Our readers don’t need them. Certainly on these elementary ideas.
Our aim instead is to stress how vital it is for a company to realise the importance of striking a balance in the methods it applies in all operational aspects, from production and organisation to human resources and business relations. No good choice is immutable. Even more important is the need for a management approach that serves to continuously call into question all the balances that seem relevant in a particular context. Today’s balances and trade-offs will not be the same tomorrow.
Beauty or the Beast?
Omnes Newsletter 37-41, rue du Rocher - 75008 Paris. Managing director: Fabien Prévost. Editor in chief: Martine Sessin-Caracci. Editorial staff: Gaëlle de Montoussé, Isabelle Huchet. Thanks to everyone who contributed to this newsletter. Photo credits: Getty Images, Fotolia, Hervé Thouroude, Batiweb Group, Atelier Barré-Lambot, David Sanchez, APF, Assemblée nationale-2017/2018, Nicolas Tucat/Capa Pictures. ISSN: 2264-9751. Design and production: (LEOM032).
Yvan Bourgnon realised a new feat in July 2017 by sailing a sport-catamaran from Alaska to Greenland through a passage normally blocked by ice and considered as impracticable. The journey lasted 71 days in polar cold and amid dangerous survival conditions. Beyond the sporting challenge, the aim of the crossing was to raise awareness of climate change and ice melting. Omnes is particularly proud to have been a part of this human adventure alongside the company Bimedia, which it has supported since 2015 and with which Omnes shares strong values.
Once again this year, Omnes is bringing together its partners, clients and entrepreneurs as part of an exceptional evening of debates on today’s key issues. The fourth Cercle Omnes des Entrepreneurs evening will be held on 31 January 2018 at Pavillon Cambon in Paris, in the presence of French Général d’armée Pierre de Villiers.
A SPORTING AND ECO-LOGICAL CHALLENGE
31 JANUARY 2018: CERCLE OMNES DES ENTREPRENEURS
OMNES /Newsletter No. 32 P.�03
At Omnes, assessing the ability of our holdings and their management teams to adopt this “adaptive” attitude is a key criterion in our investment decision-making. Our finest achievements are made with management teams that have correctly gauged their competitive environment, adopted the appropriate attitude, and possessed the humility to call themselves into question and the honesty to open up to their shareholders.
In the world of rock music, there are no compromises: Beauty and the Beast are one and the same. Vincent Furnier set the ball rolling by creating “shock rock” with a pseudo featuring a sweet teenage girl armed with a deadly axe. Brian Warner further refined the concept 20 years later by marrying a drop-dead gorgeous blonde with a full-on psychopathic killer. Both continue to spill blood, drop the guillotine1 and jiggle their boa constrictors (apart from the one that met its end in the plumbing of a Tennessee hotel on a 1971 tour) on their world tours2. Their brand of showmanship may raise a smile or two today, but the two characters have left a lasting mark with their original compositions and sounds. Listen
“Our aim is to stress how vital it is for a company to realise the importance of striking a balance in the methods it applies.”
to the 70’s numbers Under My Wheels and School’s Out by our friend Vincent, and The Beautiful People and Disposable Teens3 by his latter-day partner in crime Brian, 25 years later. Even if you’re not a fan, the production itself is well worth a listen. Me, I love it.
We hope you enjoy this 32nd issue of our newsletter, which provides real information about real companies, real successes, real people and real passion. Thank you for your trust.
1. https://youtu.be/Nj6t0ykJFDs2. Vincent will be playing the Olympia on 7 December 2017 and Brian the AccorHotels Arena on 27 November 2017.3. https://youtu.be/KgPipY7h2_g
After the wave of digital models, start-ups are going back to the roots of technological innovation. The shift from low tech to deep-tech is creating opportunities, of which Omnes, already firmly established in the sector, intends to take full advantage.
Venture capital has historically backed start-ups having pioneered disruptive technologies, companies whose R&D financing needs were by nature substantial. The revolution of the Internet and digital apps changed the market with the advent of a new breed of start-ups providing new uses rather than new technologies (components, materials, etc.). “Like Amazon, the winners were those who succeeded in raising the most money, not to finance new tech solutions but to finance the marketing of new uses,” says Michel de Lempdes, Managing Partner at Omnes.
New paradigm With the digital movement running out of steam, start-ups are once again focusing on technological innovation. Originating from fundamental research in artificial intelligence, nanotechnologies, robotics and materials, they are the spearhead of a new industrial
revolution. “Europe, and France in particular, has a world-class network of research laboratories,” says Michel de Lempdes. “In a new development, we also have experienced deep-tech entrepreneurs heading up new start-ups for the second or third time.” Seed capital in France is backed by impressive financing thanks to the national seed fund, FNA, which is releasing a further €600 million for innovative small companies. “However, there aren’t many asset managers able to take up the baton from seed funds and finance successive rounds in the deep-tech sector. A full 83% of fund investments are currently geared towards low tech, compared with just 17% for deep-tech,” says Michel de Lempdes. This missing link in the financing chain offers a real investment opportunity for players with experience in supporting deep-tech start-ups, these last requiring advice from experts on specific
Back to the future
Deep-tech firms on the rise
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MICHEL DE LEMPDESManaging Partner, Omnes
Trends
OMNES /Newsletter No. 32 P. 05
topics such as international development, quality processes, R&D roadmaps and marketing.
A unique deep-tech track recordOmnes is a long-standing deep-tech player and has a unique track record in the segment. It has made 27 investments since 2001, and 14 exits have generated a gross multiple of 2.1x, notably with Novaled (sold to Samsung), Dibcom (to Parrot) and EVE (to Synopsys). The team benefits from an international network of highly responsive experts and entrepreneurs and a large European deal flow. It has also developed a rigorous selection process. Intent on strengthening its presence in the deep-tech sector, Omnes is launching a special new fund called Omnes Real Tech. The aim is to build a portfolio of 15 to 20 European start-ups developing disruptive technologies in health and industry and having gone beyond the seed phase. “The aim is to raise between €100 million and €150 million,” says Michel de Lempdes. “We want to open the fund up 30% to corporates so as to create partnerships between these last and start-ups.” The first closing is planned for early 2018.
Key figures
83% of venture capital investments are allocated to low-tech companies, 17% to deep-tech companies.1
3.5xThe number of deep-tech start-ups founded in Europe more than tripled between 2011 and 2016.2
1. Source: Omnes and Crunchbase, on the basis of 276 transactions in France and 243 in Germany, 2017.2. Source: “State of European Tech Report”, Atomico, November 2016.
Investments in underlying technologies for health and industry:• High-end sensors and semi-conductors• Machines• Advanced software/big data• New materials
OMNES LAUNCHES OMNES REAL TECH
Target size
€150m
Invest in B2B deep-tech start-ups
A unique track record in deep-tech since 2001
Build a portfolio of 15-20 European start-ups
“27 investments
and 14 exits completed in deep-tech since 2001, have generated a gross multiple of 2.1x”
Expertise
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“Nicolas Ricart, CEO of Batiweb Group, and I were able to meet up ahead of the bidding process and we quickly understood that we share the same way of envisioning the future of his company,” says Frédéric Mimoun, Director at Omnes. From that point, things went very fast. The pre-emptive discussions became exclusive and Omnes brought preferred partners on board (SWEN Capital, Matmut Innovation and Golda Darty Partners), fostering business partnerships currently under implementation. At the same time, the acquisition of Habitat-Trade will strengthen Batiweb’s territorial coverage and skills.
A committed build-upFounded in 2005, Batiweb Group today is the number-two player in its market, with nearly €10 million in annual revenue and 94 employees. Digital intermediation is a thriving sector, with major penetration potential as just 13% of self-employed professionals use this channel. The Group’s four-year objective is to increase its revenue by 2.5 and
Surfing the wave of digital intermediationOmnes’ acquisition of a stake in Batiweb lends new impetus to the number-two player in digital relationship building between consumers and professionals in housing renovation. On a fast-growing market in the throes of consolidation, the partnership looks set to be a productive one.
Batiweb Group quadruple its profitability. “In six months, we have shown our ability to step up the company’s development,” says Frédéric Mimoun. As evidenced by the company obtaining an exclusivity on a strategic acquisition opportunity in an over-the-counter context, signed in July 2017. Seven other deals are under review and Omnes is helping to broaden the range of possibilities outside France, notably in Belgium, the Netherlands, the UK and Germany.
Strategic support At the same time, Nicolas Ricart’s team has been expanded. In September 2017, the former Marketing Director in France for Yahoo was hired as the Group’s Marketing Director, and in late October the Group recruited a new CFO from Bpifrance. The human resources director will join the team between now and early 2018. After the implementation of an executive committee, Omnes also helped to strengthen Batiweb’s strategic governance with the selection of two industrial experts for the Strategic Committee. “Our ambition is to strengthen the Group’s position in its market and help it to become the Airbnb of self-employed professionals, with a complete set of services ranging from appointment making to transaction payments,” says Frédéric Mimoun. “Strategic and pragmatic support in which everyone expresses themselves openly. The key is to continuously call things into question, open doors and move forward.”
Timeline
• 2005: Creation of Batiweb.
• 2013-2016: Batiweb doubles its revenue and triples its profitability.
• 2017: Omnes invests €4 million in Batiweb through a growth capital transaction. Batiweb acquires Habitat-Trade, the publisher of easy-devis.fr, and becomes Batiweb Group.
3 QUESTIONS À…
OMNES /Newsletter No. 32 P. 07
What made you choose Omnes? I immediately felt on the same wavelength as Frédéric Mimoun. His strategic vision perfectly matched what I wanted to do. Batiweb's business model had arrived at a new stage of maturity, enabling us to shift up another gear. And Omnes was quick to confirm the points that were essential for me: a majority position and the possibility at all times to have the necessary cash for financing organic and external growth with no dilution.
NICOLAS RICART,CEO
of Batiweb Group
“Trust and responsiveness are the keywords in our collaborative effort, both in human and operational terms, and this is exactly what we need at our stage of development.”
THREE QUESTIONS FOR…
How has the collaborative effort responded to your needs and expectations? It's a very strong relationship. We have regular discussions on recruitment, strategic directions and growth prospects. After working together for just six months, we have already obtained a green light on a potential acquisition, which is exceptional. Omnes is very present in terms of support and advice. They are also able to show great flexibility in financing arrangements, proposing highly entrepreneurial solutions.
What are your next steps and outlook? We have very strong ambitions for the next four or five years. With annual like-for-like growth of over 35%, we are already firmly on track! Omnes will help us to expand in Europe, where our model in terms of business offering and process is highly attractive. The experts and entrepreneurs that the Omnes team puts us in touch with will also play an invaluable role in honing the development of services with our clients.
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VENTURE CAPITAL
EXITS
TRUSTYOU / E-REPUTATIONJune 2017 – Omnes sold its share in TrustYou, held since 2011, to the Japanese firm Recruit Holdings. Founded in 2008 by Benjamin Jost and Jakob Riegger, TrustYou is a German provider of solutions for analysing consumer opinions on the web. It provides hotel chains, online booking sites and other players in the hospitality trade with subscription-based software for analysing and managing their reputation, in particular on the social networks. TrustYou’s solution is underpinned by analysis of the ratings and comments of customers in 30 languages and uses innovative semantics-based technology. The company today stands as the world leader, collecting nearly 100 million consumer opinions from hundreds of thousands of hotels every year.
EVENTSOmnes regularly engages in landmark events on innovation and FrenchTech. In June 2017, at the VivaTech conference in Paris, it organised a challenge for start-ups entitled “Deep Tech for a New Life”, the only deep-tech event proposed at the conference. The aim of the contest was to reward start-ups having developed a unique disruptive technology. In October 2017, Omnes also took part in the Deep Tech Summit in London and the Hello Tomorrow Global Summit in Paris, both focused on the deep-tech ecosystem. Omnes made a presentation on artificial intelligence and the issues involved in investments in deep-tech and biotech sectors.
TEAM
Maximilien Fournier Sourdille joined the Venture Capital team as Associate, reporting to Michel de Lempdes, Managing Partner. A graduate of École Polytechnique, specialising in Biology & Entrepreneurship, Maximilien Fournier Sourdille holds a Master’s in Bio-engi-neering from the University of California in Los Angeles (UCLA).
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MES DOCTEURS / MEDICAL TELEADVICE October 2017 – Omnes sold its holding in MesDocteurs to VYV, France’s leading mutualist group. MesDocteurs is a start-up founded in 2015 by Chloé Ramade, Séverine Grégoire and Nicolas Orofino, the founding team of Monshowroom, backed from its creation by Omnes and sold to the Casino group in 2014. MesDocteurs is a fee-based medical teleadvice platform providing precise and detailed medical information. Omnes carried out the company’s initial financing round in January 2016 aimed at structuring the firm and strengthening its teams. The arrival of VYV marks a new step forward in the development of MesDocteurs, bringing it a new distribution platform and new growth prospects. The transaction is the second industrial exit completed in excellent conditions with the management team.
TRUSTED SHOPS / E-CERTIFICATION April 2017 – Omnes increased its holding in Trusted Shops, the European leader in the certification of e-commerce websites. Trusted Shops helps online merchants to boost consumer trust by granting “Trustbadge®” certification. The badge is awarded following a rigorous audit based on over 100 criteria including solvency, price transparency, customer service and the protection of personal data. Trusted Shops has also launched a B2C offer to guarantee purchases made on certified sites. Today, over 20,000 online merchants across Europe have earned the quality certification and over ten million purchases have been protected by the reimbursement guarantee. The German-based company has been profitable since its creation in 1999. Omnes acquired its initial holding in 2011.
FCPI: Capital Invest PME 2014, Capital Invest PME 2015Michel de Lempdes, +33 (0)1 80 48 79 61Marc Gasser, +33 (0)1 80 48 79 67
AB TASTY / ONLINE OPTIMISATION May 2017 – AB Tasty, the European leader in testing and personalisation, completed a new fundraising round of USD 17 million with Korelya Capital and Partech Ventures as well as its long-standing funds Omnes and Xange, which had already invested USD 7 million in 2014 and 2016. Founded in 2011 by Alix de Sagazan and Rémi Aubert, AB Tasty is posting annual growth of over 100% and today boasts a team of 120 people in six offices in Paris, London, Cologne, Madrid, Sydney and New York. In the space of a few years, AB Tasty has become the European leader in the conversion optimisation market, now a key issue for
web and mobile players. The start-up has earned the trust of numerous companies in France and internationally, its client roster including Voyages-sncf, Cdiscount, La Poste, Carrefour, PSA, Sephora, La Redoute, Mercedes, Jaguar, Leroy Merlin, McDonald’s, ShowroomPrivé, La Maif, Center Parcs, and Thomas Cook. AB Tasty set up business on the American continent in late 2016. The new fundraising will serve to step up the company’s commercial development in the market.
FCPI: Capital Invest PME 2014, Capital Invest PME 2015, Capital Invest PME 2016Xavier Brunaud, +33 (0)1 80 48 79 62 Marc Gasser, +33 (0)1 80 48 79 67
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INVESTMENT
TEAM
Laurent Perret has been promoted to Principal in the Renewable Energy team. Elisa Steccaglia and Yannic Trueb have both been appointed Associates.
Omnes stands as a forerunner in the energy transition, having launched its first fund, Capener-gie, in 2006. The company has since made 35 investments in renewable energies in France and Europe, for a total 1.5 GW production capacity. In 2016 Omnes launched Construction Énergie Plus, the first French fund dedicated to the construction of high-environmental-performance buildings.
PARTNERSHIP WITH THE ETPO GROUPJune 2017 – Omnes signed a strategic partnership with the ETPO Group through a joint subsidiary, ETPOMNIA. The aim is to develop 50,000 m2 of high-energy efficiency commercial real estate projects in the next five years, primarily in the Nantes region. Six projects in line with the fund’s investment criteria have already been identified and are under development. The ETPO Group or CIFE is a century-old construction company with a 630-strong workforce and annual revenue of over €150 million. Active mainly in western France, the ETPO Group stands apart through its top-flight technical abilities and high-performance construction processes inspired by industrial methods, such as TAKT.
“Our partnership in high energy efficiency buildings is aimed at developing projects that exceed current standards. In office spaces, for example, we are seeking to combine environmental performance and workplace well-being through well thought-out design and location choices. Our objective is to strengthen the Group’s proximity with its public- and private-sector customers by bringing them turnkey construction solutions.”Pierre Champy, The ETPO Group
2017 ANNUAL GENERAL MEETING Omnes held its Infrastructure Funds’ Annual General Meeting evening on Thursday 12 Octo-ber at renowned French chocolatier Un dimanche à Paris in Paris. The event was attended by some 50 guests (clients, partners and prospects). A review of the Capenergie and Construction Énergie Plus (CEP) funds was presented by the management teams, with the participation of Guillaume Carle and Olivier Tardy, partners of the CEP fund. The evening continued with tasting sessions and a chocolate workshop, both of which were highly appreciated.
INFRASTRUCTURE
GREEN BUILDING
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Omnes received a special mention in the “Infrastructure Fund for the Best Green Strategy” category at the SIATI (infrastructure, real estate and planning summit) awards organised on 13 June 2017 by Décideurs Magazine/Leaders League.
ZOOM CONSTRUCTION ÉNERGIE PLUS
PRO BTP has provided €50 million to Construction Énergie Plus as a cornerstone investor and sponsor, and the fund is targeting €100 million. It is dedicated to funding the construction and renovation of highly energy-efficient public and private buildings in large regional cities in France. The fund’s overall objective is to develop a total capacity of 500,000 m2.
INVESTMENT
PARTNERSHIP WITH EVOLUTIONJune 2017 – Omnes concluded a partnership with Evolution by investing in La Foncière des Lunes. Omnes invested alongside Evolution in Darwin, an emblematic renovation project on the right bank of the Garonne river in Bordeaux, as well as in several other projects (particularly renovation and restructuring of existing assets) with high environmental standards and intended for mixed use, and the development of integrated ecosystems. The projects will be developed in the Bordeaux area and in other French cities. Evolution is an incubator of projects focused on the ecological transition. As the designer and developer of the Darwin ecosystem, it has been recognised for several years for the expertise it has developed in urban intensity, resilient architecture and high
ecological performance, particularly in the renovation of historical buildings. Omnes plans to invest up to €10 million as part of the partnership.
“Our association with Omnes creates new opportunities to disseminate the Darwin ecosystem’s resilient approach. It provides a catalyst to expand the ecological, entrepreneurial and societal transition beyond Darwin’s original region, in close cooperation with local players from each region involved.”Philippe Barre, Founding Chairman of Evolution
AWARD
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BUYOUT & GROWTH CAPITAL
INCA / CONSTRUCTION OF INDIVIDUAL HOUSESJuly 2017 – Omnes, with the support of GSO Capital and Bpifrance, managed the spin-off of the Nouvelle Aquitaine regional brands of the Geoxia Group held by LBO France (Maisons Clairlande, Les Demeures de la Côte d’Argent, Rouquié Constructions) through a primary LBO. Omnes acquired a majority stake in the takeover holding company InCa (“Innovation Construction pour l’Avenir”) bringing together the three brands, along with the management – Rémi Fromaget, CEO, and Lionel Husson, Managing Director. InCa is a regional leader in the construction of individual houses in isolated areas. The Group has a broad client base ranging from first-time buyers to high-end clients. With over 500 houses sold, the Group posted revenue of over €37 million in 2016. The aim of this deal is to boost the Group’s growth on three fronts:
organic growth sources, with the opening of new branches in Aquitaine; an active and selective policy on acquisitions; and a strengthened sales system, notably through the development of innovative digital solutions.
“The benefits of our partnership with Omnes soon became evident due to its perfect understanding of a still-fragmented sector and its expertise in sectoral consolidation through successive acquisitions. We are now in a strong position to carry out our ambitious growth project.”Rémi Fromaget, CEO of InCa Group
INVESTMENT OMNES WEALTH MANAGEMENT EVENINGOn 20 December 2017, Omnes is organising at Studio Harcourt in Paris, a prestige evening event focused on wealth management, in the presence of sailor and adventurer Yvan Bourgnon.
45 DEALS IN 14 YEARS
SMALL CAP
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News
APF (PLATINIUM POOL) / POOL EQUIPMENTJuly 2017 – The Platinium Pool Group (APF) is a leading supplier of pool equipment and facilities for professionals. Through its product positioning and the quality of its production and services, the Group is outperforming the market, with revenue of €41.6 million in 2016. On that basis, Omnes organised the bank refinancing of the Group’s senior and bond debt, implemented in 2014. The partial disposal has already generated a net IRR of 16% and reinforced the accretion
of the management in the company’s capital. Omnes first acquired a stake in the Group as part of an MBO in 2014. Funds: LCL Expansion 2, LCL PME Expansion 2Laurent Espic, +33 (0)1 80 48 79 51Antoine Joris, +33 (0)1 80 48 79 59
ARYES / COMPANY SERVICESJuly 2017 – Aryes is a holding company that acquires shares in industrial and commercial companies working in company services and office space equipment and layout. A new LBO debt was introduced for the Aryes Group with a view to making a capital reduction and an exceptional dividend payment. The transaction enabled the partial divestment of the LCL PME Expansion 2 and LCL Expansion 2 funds. Omnes invested in the Aryes Group in 2014 via the share capital reorganisation of ABCIA and Phoenix that united their business activities. Aryes reported revenue of €290 million in 2016.
16% NET IRR GENERATED FROM THE PARTIAL DISPOSAL OF APF
PRIVATE DEBT
MID CAP
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ANI / AEROSPACESeptember 2017 – Omnes invested in the ANI (Aero Negoce International) Group through an owner buyout (OBO) transaction. Omnes acquired a minority holding by investing €11.7 million. Omnes assisted with the transmission of the company’s capital from Founder-Chairman Claude Patin to his daughter-in-law Nathalie Bianchini and her husband Patrick Bianchini, the current CEO. Based in Béziers in the south of France and founded in 1993, the ANI Group distributes fastenings for the aerospace sector. The ANI Group has a workforce of 25 people, in France and the United States. The key objective is to enable the company to expand its product
range, develop sales activity on the American continent and identify external growth opportunities.
FONDIS BIORITECH / MEASUREMENT INSTRUMENTSJuly 2017 – Omnes and Eurazeo PME sold their holding in Fondis Bioritech to InnovaFonds, accompa-nied by BNP Paribas Développement and Entrepreneur Venture. Fondis Bioritech distributes portable meas-urement instruments in the construc-tion, manufacturing and laboratory sectors. Having worked with Fondis since 2008, when it provided sup-port in the secondary LBO, Omnes first acquired a stake in the company in 2011. With strong presence in the real estate market, the company has successfully upgraded its business model to return to growth.FPCI: Mezzanis 2Camille Delibes, +33 (0)1 80 48 78 95Avi Corcos, +33 (0)1 80 48 78 28
TIAMA / INSPECTION MACHINESJune 2017 – Omnes sold its holding in Tiama to Caravelle with a 1.6x multiple. Omnes has supported the company, the world leader in the production of inspection machines for container glass, since 2008. The slowdown in growth in the 2010s led Tiama to alter its capital structure, with Omnes acquiring a holding in the company in 2015 alongside EQT, Kartesia and LGT European Capital. The Group has since strengthened its world leadership by reducing the cyclical aspect of its business and expanding in North America and Asia.FPCI: Mezzanis 2Camille Delibes, +33 (0)1 80 48 78 95Avi Corcos, +33 (0)1 80 48 78 28
INVESTMENT
EXITS
News
TEAM
Ludovic Valentin-Pereira has been appointed Principal in the Mid Cap Buyout and Growth Capital Team, reporting to Éric Rey, Managing Partner.
over 15 YEARS’ EXPERTISE
36INVESTMENTS AND 32 EXITS
12% GROSS IRR ON 32 EXITS
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Analysis2018 Finance BillCreating trust for savers and businesses
What is the general philosophy behind the government’s new budget?A budget is merely the consequence of public policy choices, but it is true that the first budget of a five-year term is a key founding act. The 2018 budget sends out a major message as to the government’s intentions. It is a budget of transformation – in economic, social, ecological, housing and employment terms – and one that increases purchasing power and redirects savings towards the financing of the economy. The objective is to better reward work and initiate necessary structural reform.
What are the main measures for businesses? The budget is part of a continuum of measures, notably the ordinances voted this summer to facilitate recruitment and enhance job market visibility. With the elimination of a large part of wealth tax and the creation of a flat tax at 30%, it will free up the investment capacity of the French population so as to strengthen the equity of businesses. It also creates the conditions for a business-friendly tax and regulatory environment, with a reduction on company tax to 25% by
The 2018 Finance Bill increases the purchasing power of the French population and redirects their savings towards productive investments, says Laurent Saint-Martin, MP (LREM) for Val-de-Marne and Vice-President of the Finance Committee of the French National Assembly.
the end of the five-year term, the reduction of lasting and direct charges replacing the CICE tax credit, and the elimination of the 3% tax on dividends. So it is a strong appeal for savings and productive investment. It is also a stepping stone towards the Company Law to be presented by Bruno Le Maire in spring 2018.
What about support for innovation? Innovation is central to the €57 billion investment plan (Grand Plan d’Investissement) recently announced by the prime minister. In addition, a €10 billion ad hoc fund will be set up to finance disruptive innovation based on state disposals/holdings. The state does not intend to replace the private sector; rather it stands as a resource for helping companies to take on the risks inherent to innovation. In parallel, private equity funds must continue to play their role and will perhaps need to seek a broader investor base so that each individual can contribute to the development of small and mid cap companies.
How does the budget create the conditions for economic recovery?The 2018 budget is consistent with the government’s determination to create a virtuous circle for building a society of trust, stimulating investment and growth, and curbing unemployment. We have to do away with today’s timid, bond-based investment approach. Industrial small and mid cap companies have too much debt and find it difficult to seek out the equity they need to shift up a gear. We will also be asking all the country’s financial players to think about creating products that are more favourable to equity investments. Halfway through the term, we should have established the conditions necessary for the return of trust and a recovery in investment.
Laurent Saint-Martin
MP (LREM) for Val-de-Marne and Vice-President of the Finance Committee of the National Assembly, Laurent Saint-Martin is a specialist in business financing. After earning a Master’s in Finance at EDHEC Business School, he worked as an associate then innovation delegate at Bpifrance from 2010 to 2016. He went on to work at Euronext, the leading pan-Euro-pean stock market, which he left in June 2017 following his election to the National Assembly.
