Ardian's Solina acquires New Ivory

Alice Tchernookova
23 September 2016

Tweet
Facebook
LinkedIn
Google plus
Send to

Ardian has backed the bolt-on acquisition of British sauce producer New Ivory by the GP's food ingredients portfolio company Solina.

Solina acquired New Ivory from Rob Whitehead, who between 2001-2004 was the group's managing director, and grew the UK-based manufacturer of chilled sweet and savoury sauces and gravies from £1.4m of sales to £16m.

Whithehead sold his majority stake, while New Ivory's new managing director Adam Jones and the rest of the management team remain invested in the company.

The deal represents the first add-on acquisition in Solina's international expansion strategy. The group will aim to reinforce its position in Europe through bolt-ons in Germany, the UK and central and southern Europe. Some acquisitive expansion is also planned in the US. The company is aiming to double its revenues over the next five years through this strategy.

Previous funding
Solina was formed through the merger of French business Savena and Belgian food producer Sfinc in 2012. IK Investment Partners acquired Savena from Azulis Capital and Céréa Capital in 2011, in what marked the fourth buyout of the company.

Equity for the transaction was provided by the IK 2007 Fund, with Crédit Agricole and BNP Paribas providing senior debt, while Alcentra, Céréa Mezzanine and LFPI supported the transaction with mezzanine financing. Azulis and Céréa had acquired Savena from Quartus in October 2007, in a deal valued in the €70-90m range.

Ardian had previously been invested in Belgian food company Sfinc, which merged with Savena in 2012. The GP (then Axa Private Equity) purchased a majority stake in 2008 from Gimv, alongside management and Axxess Partners. ING and KCB supplied leverage to support the deal.

Savena and Sfinc merged in 2012, leaving IK as majority shareholder of the Solina group. Crédit Agricole and BNP Paribas arranged a debt package to fund the merger. Mezzanine financing was provided by Alcentra, LFPI and Céréa Gestion. Since then, Solina completed several add-on acquisitions in Sweden, Denmark, Finland and France, according to IK.

In October 2015, Ardian took a majority stake in the group, taking over from IK Investment Partners. Ardian tapped its most recent Mid-Cap Buyout fund, closed on €2.8bn in 2013. Crédit Agricole and Natixis provided debt to finance the transaction.

Company
New Ivory is a UK supplier of sauces to national retailers and wholesalers.

From its manufacturing site in Elland, West Yorkshire, New Ivory develops and produces restaurant sauces. The company employs 180 people and generates sales in excess of £20m in the UK.

With roots dating back to 1988, Solina is a food ingredients producer active in the fish, meat, nutrition, ready meals and snacks areas. It operates 11 production facilities, several R&D centres and local sales offices. Based in Paris, the company employs 1,000 people and posted a €315m turnover in 2015.

People
Ardian – Bruno Ladrière, Mathieu Antonini (managing directors); Daniel Setton (managing partner); Emmanuel Miquel (senior investment manager); Alexis Manet (investment manager).

Advisers
Equity – Oghma Partners (corporate finance); Eversheds (legal); EY (financial due diligence).
Vendor – Walker Morris (legal); Grant Thornton (tax).