Chequers Capital exits Provalliance

The deal, which was completed in late December, sees the founding family Provost and company management becoming the sole shareholder in the Provalliance group.

According to a source close to the deal, enterprise value was within the €350-450m range, representing a 7.5-8x EBITDA multiple.

Chequers entered the group in 2012, acquiring a 40% minority stake from American hair salons Regis for an undisclosed amount. In the current sale, the GP's stake amounted to around 45%, while the balance (around 55%) belonged to the Provost family, the source told unquote". 

During the holding period, Chequers expanded the group by way of acquisitions, taking over groups including Haircoif in 2015 and developing a number of sub-brands such as Coiff&Co and Fabio Salsa.

According to several sources, Chequers is currently gathering commitments for Chequers Capital XVII, with a target of €1bn.

Other transactions recently completed by Chequers include the SBO of roofing materials manufacturer Hild, in which Abénex Capital reaped a 2.5x multiple by selling its majority stake, and the planned acquisition of Alkern, in which the GP will take over from Fondations Capital in a deal valuing the business at €67m, according to French website Capital Finance.

Debt
The transaction was supported by a senior debt package arranged by BNP Paribas, which represents around €250m, according to the same source.

Previous funding
In October 2012, Chequers acquired a 45% stake in Provalliance from US-based hair salons operator Regis. According to unquote" data, the transaction was valued within the €50-100m range.

The GP invested from the Chequers Capital XVI fund, closed on its €850m hard-cap after only three months in 2011, exceeding its €800m target. The fund targets companies with a turnover in the €30-300m range, with equity tickets ranging from €20-100m.

Company
Provalliance is an operator of hair salons. It operates under the brands of Jean Louis David, Franck Provost, Saint Algue and Fabio Salsa. Headquartered in Paris, France, the group is understood to be generating €1.2bn in revenues. It has a network of 500 branches and 2,250 franchises, and operates in around 30 countries in total.

People
Chequers Capital – Guillaume Planchon (director).

Advisers
Equity – UBS, Fabrice Scheer (corporate finance); Paul Hastings, Olivier Deren, Edith Boucaya, Nicolas Lovas, Valentin Savage, Allard de Waal, Etienne Bimbeau (legal); Latham & Watkins, Xavier Farde (legal).
Vendor – Mayer Brown, Guillaume Kuperfils, Ségolène Dufetel (legal).

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• Topics
• Exits
• France
• Consumer
• France
• Chequers Capital