LBO & Expansion - Strategy and positioning
A key player in expansion capital and LBO
Crédit Agricole Private Equity is a leading player in expansion and buy-out capital in France and is developing an activity in Italy with a subsidiary in Milan dedicated to LBO & Expansion activity.
Crédit Agricole Private Equity supports entrepreneurs in all kinds of leveraged or non-leveraged financing, including leveraged buyouts (LBOs), owner buyouts (OBOs) and expansion capital.
As the natural partner of the Crédit Agricole Group’s networks (Crédit Agricole Regional Banks, Cariparma, FriulAdria, LCL), Crédit Agricole Private Equity benefits from unique access to a high quality deal flow.
Long term private equity support for entrepreneurs
We invest in companies to help them with their financing needs. We are involved in all forms of business buy-ins/buy-outs, on the occasion of inheritances (family-owned companies) and in the form of spin-offs or delistings (public to private).
With offices in Paris, Lyon and Milan (Italy), we are able to support the development of the companies in which we invest in France and across Europe, particularly in their acquisition plans.
Our strategy is to play the role of an active shareholder working with the company’s management team, favouring a close relationship with managers over the long term. This enables Crédit Agricole Private Equity to implement a real expansion strategy rather than just rapid “turnover” of capital, as most of today’s funds try to do.
Investment strategy in the mid and small cap market
The team has a high-quality deal flow and a diversified portfolio thanks to the support of the Crédit Agricole Group's networks, which provide almost 30% of its investment opportunities, and its close relationships with investment banks.
The team takes both majority and minority stakes in all types of deal:
- In France,
• In the mid cap LBO market, it invests through FCPR structures (French regulated mutual fund dedicated to private equity) in companies with an enterprise value ranging from EUR 25 to 150 million and an average deal size of €5 to 30 million.
• In the small cap LBO market, two funds, each with €40 million in capital - LCL régions Développement and CAPE Régions Expansion - are devoted to companies with an enterprise value ranging from €5 to 30 million and an average deal size of €1 to 5 million.
- In Italie,
• With a dedicated €101 million fund, the activity supports companies with a turnover from €10 to 150 million in their buy-out and growth projects, and average deals size from €2 to 15 million.
An active partner in LBOs and expansion capital to support company businesses
Each company benefits from a main contact (investment director assisted by an associate). With regular contacts, we are involved in reviewing the company’s strategy and how this strategy is implemented.
The company’s management and shareholders benefit from not only our experience in areas such as acquisition finance, IPOs and delistings, but also external expertise to which we have access if necessary.
