Month: March 2022

CFNEWS article by Lucas Djeffal, published on March 28, 2022, at 1:51 p.m.

 

« Although it is still a very young and relatively underdeveloped market, France’s long-term bicycle leasing market with an option to purchase has significant potential. By comparison, Germany has 1.5 million leased bicycles, » notes Olivier Issaly, Zenride’s new president. A member of the 50 Partners executive network, this serial entrepreneur, who also founded video game studio Owlient, acquired by Ubisoft in 2011 (see below), joined the company in 2019 as Chief Technology Officer.
The company’s founders, Antoine Repussard and Thomas Beaurain, who launched Zenride in 2018, respectively oversee sales and marketing. With the ambition of reaching its German neighbor’s sales volumes while helping drive the growth of low-carbon mobility, the management team is bringing impact and transportation investors onto the shareholder base.
Alter Equity, which recently closed its second €110 million FPCI dedicated to financing companies aligned with the UN Sustainable Development Goals (see below), is leading the €5.6 million round, syndicated directly, with RATP Capital Innovation, a fund launched in 2017 to support start-ups, also participating. Founders Futures and several business angels are joining the round as well, having already backed Zenride’s €550,000 seed round in 2020. They include Christophe Courtain (Flex-O), Cyril Vermeulen (Aliquini), and Justin Ziegler (PriceMinister).
The overall financing amounts to €8 million, including loans from Bpifrance that are currently being secured.

 

More than 1,000 bikes in circulation

Zenride offers companies with more than 1,000 employees a package covering most of the cost of a bicycle leasing program, including the bike itself, insurance, and maintenance. More than 1,000 employees across 60 companies, including Veolia, Saint-Gobain, AXA, and Accor, now have access to a bike, paying one-third of the monthly lease cost themselves — “around €30 a month” — with the option to purchase it at the end of the three-year contract. Prices vary depending on the model, with 80% of the bikes provided, for example, being electric-assist models.
The young company sources its bikes through a network of 150 partner stores, including Decathlon outlets. The latest financing will fund a recruitment drive aimed at quadrupling its current 10-person workforce, primarily by hiring sales staff. Zenride is therefore targeting a sixfold increase in sales this year, after signing €2.5 million worth of contracts last year.

 

Transaction participants

Target Company: ZENRIDE
Acquirer or Investor: ALTER EQUITY, Félix Mounier, RATP CAPITAL INNOVATION, Stéphanie Bourgeais, FOUNDERS FUTURE, BUSINESS ANGELS, Christophe Courtin, Cyril Vermeulen, Justin Ziegler
Corporate Law Firm: JOFFE & ASSOCIÉS, Thomas Saltiel Charlotte Viandaz

CFNEWS article by Houda El Boudrari, published on March 14, 2022, at 6:16 p.m.

 

Nearly 35 years after its founding, Atelier de Recherches & de Conceptions (ARC) is changing hands, with founder Eric Lechevalier handing over to Stéphane Houette, a former head of the Industry practice at Capgemini Consulting.

 

The MBI is supported by a minority investment from Normandie Participations, which invested at the lower end of its €500,000 to €5 million range dedicated to growth and succession transactions. “We initiated the introduction between the seller and Stéphane Houette, who had the strongest profile to drive the development and ensure the long-term future of this local industrial gem,” says Matthieu Rabeisen, Investment Director at the regional investor, which was established by the Normandy regional council and has €100 million in investment capacity

 

€6 Million in sales, half of It generated through exports

 

Based in Offranville, in the Seine-Maritime department, ARC (Atelier de Recherches & de Conceptions) designs and manufactures standard and custom tying and baling machines and production lines, primarily for meat processors, market gardeners, and horticultural growers.
Founded in 1988 as an engineering firm serving the motorsport industry, the Normandy-based company specialized in knotting machinery in 1989 and joined the small circle of baling-machine manufacturers. In this niche market, which has only a handful of players across Europe, the French SME has already established itself as a significant player, generating €6 million in sales.

 

Stéphane Houette, Atelier de Recherches et de Conceptions (ARC): “What attracted me to the company was its ability to innovate and to meet its customers’ specific needs as closely as possible,” says Stéphane Houette, who was also won over by ARC’s eco-friendly approach, with its products seen as an alternative to plastic packaging. This positioning should enable the company to capture additional market share and accelerate its international expansion, which is already well underway, with nearly half of its sales generated through exports.

CFNEWS article by Jean-Philippe Mas, published on March 17, 2022, at 10:51 a.m.

 

EMP Rotomoulage plans to increase its production capacity through a new shareholder restructuring. In 2018, the manufacturer of rotomolded plastic components appointed William Digne as its new CEO, succeeding the founder’s two sons, Cyril and Samuel Delamaire. The MBI brought several financial investors on board, including lead investor Amundi PEF, NCI, Unexo, and BNP Paribas Développement, which collectively acquired a majority stake.
Nearly four years later, G2 Invest, the CEO’s long-standing financial advisor, organized a competitive bidding process involving a select group of financial investors. Altur Investissement emerged as the winner and became the company’s new reference minority shareholder. The listed investment firm invested at the upper end of its €1 million to €5 million target range.
The transaction also enables William Digne to increase his stake and become the majority shareholder. The investor pool is rounded out by existing shareholders BNP Paribas Développement and Unexo, which are reinvesting part of their sale proceeds.
The senior debt financing the transaction is being provided by the company’s long-standing banking partners, LCL, CIC Ouest, and Crédit Agricole Ille-et-Vilaine, acting as arrangers, with BNP Paribas and Banque Populaire Grand Ouest also participating.

 

A new facility in the coming months

 

Based in Dol-de-Bretagne, in the Ille-et-Vilaine department, and employing around 70 people, EMP Rotomoulage specializes in the development and production of custom rotomolded components. The company manufactures more than 130,000 parts a year, processing over 2,300 tonnes of polyethylene. Its products, which are 100% recyclable, are supplied to the agri-food, landscaping, containment, and environmental sectors.
Last year, the Breton company generated €15 million in sales, compared with €12 million when Amundi PEF, NCI, Unexo, and BNP Paribas Développement invested. “Our investment thesis is primarily based on the proven ability of William Digne and the entire team to grow the business. To that end, the ongoing expansion of EMP Rotomoulage’s production capacity will enable the company to grow its business with existing customers while also strengthening its sales force,” explains Bertrand Cavalié, Investment Director at Altur Investissement.

Read the article in Les Echos by Charlie Perreau, published on March 15, 2022, at 3:56 p.m.

 

Consolidation is underway in the second-hand fashion market. At the end of 2020, Vinted acquired its Dutch competitor United Wardrobe to strengthen its presence in Europe. In 2021, Etsy acquired UK-based Depop for $1.6 billion, while luxury marketplace Farfetch acquired Luxclusif. Now it is the turn of French unicorn Vestiaire Collective to acquire its US counterpart, Tradesy, for an undisclosed amount.

 

This is the first acquisition for the French second-hand fashion platform. Founded in 2009, the same year as Vestiaire Collective, Tradesy operates on the same model as the French unicorn. “When people ask me to define Tradesy, I always say that it’s the American Vestiaire Collective,” explains Tracy DiNunzio, the founder and CEO of the US company. Over the past thirteen years, Tradesy has attracted 7 million members, all in the United States.

 

The United States, the No. 1 Market

 

Unlike Vestiaire Collective — which has offices across Europe, Asia, and the United States and customers in more than 80 countries — Tradesy has never expanded beyond its home market. The deal will therefore enable its members to sell their items worldwide, while giving buyers access to products from outside the United States. “Our US customers love European fashion,” says Tracy DiNunzio. Vestiaire Collective’s item authentication technology will also be integrated into Tradesy.
For the French company, which raised €356 million in 2021, the acquisition is part of its strategy to expand in the United States. The country is the unicorn’s largest market and the one that has posted the strongest growth, up 75% in one year.

 

A New Authentication Center

 

Combined, the two platforms have 23 million members and more than $1 billion in transaction volume. By comparison, Vinted generates more than $2.75 billion in gross merchandise volume (GMV), according to a recent report by Cross-Border Commerce Europe. However, the Lithuanian start-up is more focused on the mid- and lower-end segments, while Vestiaire primarily targets the luxury and mid-range markets, with brands such as Sézane, Maje, and Sandro.

 

Tracy DiNunzio will oversee all US operations. The US teams at Vestiaire Collective (25 employees) and Tradesy (140 employees) will gradually be merged. “We will assess each other’s strengths and identify synergies,” says Maximilian Bittner, CEO of Vestiaire Collective. A new authentication center will open in the Los Angeles area, becoming the French company’s second in the United States, after New York, and its fifth worldwide.

 

According to Bain, the luxury resale market was worth $37 billion at the end of 2021. An increasingly attractive market for brands and brick-and-mortar retailers, which are gradually launching their own second-hand offerings, including Sandro, Galeries Lafayette, and Printemps in France.

 

Charlie Perreau @CharliePERREAU

Read the press release by clicking here.

 

Following a very strong 2021, Pharmacorp, France’s leading traditional community pharmacy network (400 member pharmacies and €600 million in revenue), has announced a partnership with Hygie31, a company specializing in advising and supporting healthcare and wellness brands (250 member pharmacies, 50 optical stores, 17 medical equipment stores, two online parapharmacy websites, and €1 billion in revenue in 2021).
This strategic partnership between the two Toulouse-based companies will see Hygie31 acquire a stake in Gener’+, Pharmacorp’s purchasing and supplier-referencing organization.
The partnership has a clear ambition: to create a leading French healthcare group with the scale and influence to make an impact on the French pharmacy market.

 

According to Laurent Filoche, President of Pharmacorp:

 

“I am delighted to see Pharmacorp enter this new phase and to see the opportunities this partnership with Hygie31 will create.
Thanks to its expertise, we will be able to develop new products and services tailored to both our existing and future pharmacies, particularly by strengthening our medical equipment offering. This is an essential service for our patients in suburban and rural areas, as well as an additional growth driver for our members.
We also aim to leverage Hygie31’s expertise to help young pharmacists establish themselves, through the introduction of financial support mechanisms for new pharmacy owners.
Finally, we also see this partnership as an opportunity to further consolidate our purchasing power and strengthen our position within the healthcare sector.
However, this partnership will in no way compromise our independence or the values we stand for. Pharmacorp will remain an organization of independent pharmacists, owned by and serving its members. I will remain President of Pharmacorp and continue to advocate for the profession through my role as President of the UDGPO trade association.»

 

According to Hervé Jouves, President of Hygie31:

 

« From the outset, we have been committed to developing a truly integrated healthcare ecosystem and becoming a leading player in the healthcare and wellness sector, particularly in the community pharmacy market. We have therefore developed a range of brands and e-commerce platforms covering parapharmacy, optical care, and medical equipment — all of which complement a pharmacy’s core business — while remaining open to external growth opportunities that would further strengthen our position.
2021 was an exceptionally strong year for Hygie31’s pharmacies and partners, with the group closing the year with revenue of more than €1 billion. This demonstrates the relevance of our concepts and the quality of the support we provide.
Through this partnership with Pharmacorp, we will be able to combine our respective strengths and enable each pharmacy owner to find the business model that best suits their needs, with tailored support regardless of their location — whether rural, suburban, urban, or neighborhood-based.
We will also strengthen our relationships with pharmaceutical laboratories and continue to improve the commercial terms available to our members, while generating genuine efficiencies for our laboratory partners. »

 

About Pharmacorp

 

Founded in 2012 from a pharmacy network in Ariège that had been operating for more than 40 years, Pharmacorp now represents 400 independent pharmacists across France.
With a strong presence in suburban and rural areas, the group supports its members through numerous partnerships with the pharmaceutical industry, helping them improve their healthcare offering from both an economic and quality perspective.
In 2021, after welcoming 100 new members, Pharmacorp reported revenue of €600 million, up 32% compared with 2020.

 

About Hygie31

 

A specialist in the healthcare and wellness sector, Hygie31 is the holding company of Laf Santé, the company operating the Pharmacie Lafayette, Parapharmacie Lafayette, Optique Lafayette, and Médical Lafayette networks, established in 2014, as well as dhygietal, a subsidiary founded in 2021 dedicated to digital activities through cocooncenter.com and parapharmacielafayette.com.
Backed by investment fund Five Arrows Principal Investments, Hygie31 reported €1 billion in sales, representing 27% growth compared with 2020.

 

Press Office – Vie publique – Nathalie Cassagnes – +33 6 11 49 38 02 – contact@agenceviepublique.com

CFNEWS article — by Baptiste Rubat du Mérac, published on March 7, 2022, at 1:46 p.m.

 

The online art logistics service, backed by Global Founders and Acton Capital, adds Swiss-based Forestay Capital, Spanish fund Mundi Ventures, and the EIF to its shareholder base in a €30 million Series B.

 

Convelio continues to rely on European investors. Two years after raising €9 million from German investors Global Founders Capital (GFC) and Acton Capital, the online art logistics service has raised €30 million from three non-French European funds.
Forestay Capital, the Swiss fund founded by Ernesto Bertarelli, whose father founded Italian biotech company Serono, which was sold to Merck for €6.9 billion in 2007, is leading the Series B. It is joined by Spanish VC firm Mundi Ventures and the European Investment Fund (EIF), which is investing through a special-purpose vehicle managed by GFC.
While Mundi Ventures has a strong focus on insurance and is active in France through investments in +Simple, Descartes, DreamQuark, and Unkle, its French-Spanish general partner, Javier Santiso, is very familiar with the art world.
Existing investors GFC and Acton Capital are also participating in the round, while several business angels are exiting through a separate transaction not included in the €30 million financing.
The two founders, Swiss Édouard Gouin and Clément Ouizille, had received two offers from US venture capital firms and two from European investors.
The start-up’s precise post-money valuation has not been disclosed, but according to our sources, it exceeds €150 million.

 

Revenue multiplied sixfold in two years

 

Over the past two years, Convelio’s monthly revenue, which the company keeps confidential, has increased sixfold, while its workforce has grown from 40 to 200 employees. The freight forwarding company serves 2,700 clients, including 40% art galleries, as well as auction houses such as Christie’s and Sotheby’s and online marketplaces. This latter category has benefited particularly from the e-commerce boom over the past two years, with platforms such as 1stDibs among its customers.
Convelio delivers their customers’ goods to 80 countries.
“The idea behind this fundraising is to seize the opportunity to continue gaining market share. It gives us the resources to finance our growth for the next two years. If our calculations are correct, we could reach profitability by then,” says Édouard Gouin.

 

Strengthening the New York office

 

A major effort will be made in the United States, with plans to hire 45 people this year at its New York office, which opened a year and a half ago following an initial expansion into London. The US accounts for 71% of Convelio’s deliveries and 20% of its shipments, and therefore of its revenue.
Another major potential market, Asia will be tackled at a later stage, once the company has decided how to approach it and whether opening an office there is necessary.
The young company remains focused on transporting works of art, antiques, and design pieces. The transportation of high-value industrial goods, which it handles only occasionally, is not yet an active target market.
Its competitive landscape has expanded with the launch of ThePackengers by French logistics company ESI in early 2020, adding to more established players such as US-based Arta, which operates with a marketplace approach, as well as long-standing players with less “digital” business models, such as André Chenue and LP Art.