Candover's Alma Consulting in refinancing talks

Greg Gille
@unquotenews
30 April 2013

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Alma Consulting, a French corporate cost-reduction advisory business owned by Candover, could be taken over by its mezzanine lenders, according to local reports.

ICG could be among the lenders poised to take over the business, according to French publication Capital Finance. The mezzanine lender had backed Candover's 2007 buyout of Alma, a deal believed to be worth around €800m. Alma is understood to have broken some of its covenants since then.

In its latest report, Candover estimated the investment to have a residual cost of £14.9m and a current value of £4m.

Candover acquired 50-60% of Alma in 2007 from Apax France and Chequers Capital. No new senior debt was arranged at the time – RBS only underwrote additional mezzanine and capex facilities. Alma had been subject to a €90m refinancing in the summer of 2007.

Chequers originally invested in the company in 2001. In December 2005, Apax backed the company's secondary buyout, while Chequers reinvested in exchange for a minority stake – the deal valued the business at around €400m.

Alma was founded in 1986 and is headquartered in Levallois-Perret. The company provides advisory services aimed at reducing social costs, tax-related costs, operating costs and innovation financing. Alma reportedly posted a €261m turnover in 2011.