IK sells Vemedia to Charterhouse

The acquisition of Vemedia was made through Alpha Topco, controlled by funds managed by Charterhouse and Dauphine Investissements. A statement from Vemedia said CEO and founder Yvan Vindevogel invested "a substantial amount" in Alpha Topco through holding Damier, as well as in Dutch Newco, the vehicle set up to acquire Vemedia. The CEO and management will retain a minority stake in the group.

Alpha Topco will be the ultimate owner of both Vemedia and Cooper, with Vindevogel set to have a board seat in Alpha Topco and being appointed as chairperson of the strategic committee. Vindevogel will also remain executive chairperson of the board of Vemedia.

The transaction thus results in the merging of Vemedia and Cooper (also known as La Coopération Pharmaceutique) into a single entity – Dutch Newco – supported by Charterhouse. The new entity will generate sales of €400m and an EBITDA of €100m, and will benefit from the geographical complementarity of both groups, with Cooper focusing on the French over-the-counter drugs market and Vemedia holding market shares in the Netherlands, Belgium, France, Italy, Spain, Portugal and Hong Kong.

Charterhouse said the acquisition marked a first step in the GP's ambition to grow the French company into an important international player in the sector. Additional bolt-on acquisitions will be made in the future.

Vemedia had been owned by the IK 2007 Fund since December 2012. Since then, Vemedia has doubled its sales, increasing its turnover from €75m up to €150m, and made a significant number of external acquisitions. It invested in brands Valdispert, specialised in calming and sleeping cures, and Excilor, focused on medicated foot care. The group also entered the French market with six add-on acquisitions, including Oenobiol and Stardea, both completed in 2016.

Previous funding
In July 2008, existing shareholders Indufin Capital Partners and Leeward Ventures Sicar provided €4.5m of acquisition finance to the group to support the bolt-on of two brand names, Valdispert and Baldrian, from Solvay Pharmaceuticals. The company also acquired the over-the-counter sale structure of Solvay in Spain. KBC Private Equity and Indufin provided mezzanine debt and Dexia, KBC Bank and Rabobank supplied a senior debt package to support the deal, valued at less than €25m.

In October 2012, IK and CEO Yvan Vindevogel acquired a majority stake in Vemedia. Indufin and Leeward were the selling shareholders and owned 78.4% of the company prior to the sale agreement. The business was listed at the time. IK launched a voluntary and conditional cash offer for the 21.6% remaining securities, based on the price per share of 280 cents. The offer price was equal to the price paid by IK in the acquisition.

Company
Vemedia is a consumer healthcare company, marketing self-medication
brands, primarily in western European countries. Vemedia is headquartered in Diemen, the Netherlands, markets its products in eight countries and employs 300 people. Via distributors, Vemedia's brands are represented in 40 countries worldwide.

Cooper is an over-the-counter drug manufacturer and distributor. The company operates via a network of 22,000 pharmacies across France. Cooper is headquartered in Melun and has approximately 490 full-time employees.

People
IK Investment Partners – Remko Hilhorst (partner); Frederik Jacobs (associate).

Advisers
Vendor – Allen & Overy (legal).  

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• Topics
• Exits
• Benelux
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