Disposal of Chryso by LBO France
FR
Sycomore Corporate Finance advises LBO France on the disposal of Chryso
LBO France acquired Chryso in 2014 as a subsidiary of the Materis group, of which LBO France had been the majority shareholder between November 2003 and May 2006, allowing it to become independent.
Cinven identified Chryso as an attractive investment opportunity based on the Group’s strong position in an attractive sector which benefits from an increasing expenditure on infrastructure growing urbanisation in emerging economies and a housing-market recovery in Europe and the US. In addition, the Group has identified attractive expansion opportunities in the Middle East and South-East Asia.
The transaction represents an attractive investment opportunity for Cinven based on Chryso’s market position in the additives and admixtures segment across both developed and emerging geographies.
Chryso represents the 4th investment from The Sixth Cinven Fund.
Rationale
Headquartered in France, Chryso is a leading international producer of additives and admixtures which improve the performance of concrete and cement, and construction systems for the repair and maintenance of buildings. The Group operates across Europe, Africa, the Middle East, Asia and the US with sales in more than 100 countries worldwide.
The Group has 29 manufacturing facilities globally and four R&D centers, employing c.1,130 people.
With a turnover of more than €300m in 2016, today Chryso is a French construction materials champion on an international scale, known for its high capacity for innovation.
As a key player in private equity with €3.6bn of capital under management, LBO France is an independent company that has been supporting French companies in their growth for more than 30 years. Its strategy is based on four investment approaches in non-listed companies, managed by dedicated teams: (i) Mid Cap buyout through the White Knight funds and Small Cap buyout through the Hexagone funds, (ii) Innovation-Capital through the Innovation Capital funds, (iii) Real Estate through the White Stone and Lapillus funds, (iv) Debt. LBO France is 100%-owned by its management and employs almost 60 professionals.
Cinven is a leading international private equity firm, founded in 1977, with offices in London, Frankfurt, Guernsey, Hong Kong, Luxembourg, Madrid, Milan, New York and Paris. Funds managed by Cinven acquire companies with a European focus that will benefit from Cinven’s expertise of growing and building companies globally and require an equity investment of €200m or more. The typical holding period for an investment is between four and six years.
Cinven has built a strong track record over 25 years investing successfully through economic cycles and is currently investing the Sixth Cinven Fund.