EdRip takes majority stake in Sarawak

Alice Tchernookova
11 July 2017

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Edmond de Rothschild Investment Partners (EdRip) has acquired a majority stake in Sarawak from ACG Management and Alliance Entreprendre.

EdRip drew equity from small-cap fund Cabestan Capital II, closed on its €165m hard-cap last year. Cabestan II invests for both minority and majority stakes in companies with a turnover between €10-100m, committing equity tickets ranging from €4-10m in initial investment rounds, and of up to €16m in subsequent rounds. According to unquote" sister publication Mergermarket, the current investment could be worth in the region of €7-8m.

The acquisition is Cabestan II's fifth, and comes a week after the GP announced its investment in content management service Groupe Studia.

EdRip's investment in Sarawak enables the exit of ACG Management and Alliance Entreprendre, which previously held a combined 41% stake. Company CEO Guy Maindiaux, hitherto majority shareholder, is reinvesting alongside other company executives to retain a minority stake.

With the support of its new investor, the business will seek to grow its portfolio of clients and to expand internationally, with several acquisition opportunities already identified in the EU.

Debt
The transaction was supported by a senior debt package provided by Banque Populaire Rives de Paris and Banque Populaire Val-de-France.

According to unquote" sister publication Mergermarket, the debt value was roughly equal to the equity component (around €7-8m).

Company
Created in 1999, Sarawak specialises in outsourced sales, communication and promotional services for B2B and B2C customers, mostly in the retail sector. Based in Issy-les-Moulineaux, the company employs 300 people and generates €18m in revenues with a 10% EBITDA margin.

People
Edmond de Rothschild Investment Partners – Alexandre Foulon (managing partner); Pierre Cavalier, Nicolas Debonneuil (analysts).

Advisers
Equity – Oderis Consulting, Thomas Claverie, Paul Locatelli (financial due diligence); Lamartine Conseil, Vincent Libaud, Perrine Sauzay (legal).
Vendor – Trianon Corporate Finance, Alex Marvaldi, Jane Coblence (corporate finance); HPML, Velin Valev, Marie Kanellopoulos (legal).