Latour Capital buys Sogetrel in SBO

Sogetrel's management and previous backer BPI France significantly reinvested in the business.

Additionally, the BNP Paribas Development and Paluel-Marmont Capital funds equally invested in the business, acquiring minority stakes.

The company's EBITDA stands at €22m, according to Unquote sister publication Debtwire. The sale will be backed by a 3.5x all-senior financing led by LCL and Palatine, which implies a quantum of drawn debt of around €77m, according to the publication. 

Latour is currently investing via its €300m Latour Capital II, closed in 2015. The vehicle seeks businesses valued in the €50-200m region.

The auction process was conducted by DC Advisory. 

Previous funding
Equistone became a majority shareholder in Sogetrel in February 2006 when it bought the company from ABN Amro Capital France and BBS Capital, which first invested in the business in 1999.

As part of the takeover, €45m and €25m was injected into Sogetrel in the form of senior and mezzanine debt, respectively. Along with Equistone's equity, the financing assisted the company as it bolted on peers ITA, TBF, Greselle and a fourth asset in 2015.

In June 2015, after Sogetrel renewed contracts with French telecoms giant Orange, Equistone mandated BNP Paribas to lead a sale process for the asset and Quilvest emerged as the winning bidder towards the end of the year. The third buyout in 2016 meant a full exit for Equistone, Sogetrel's management team and a group of minority owners. Andera partners provided mezzanine debt for the transaction. 

Company
Founded in 1985, Sogetrel provides communication network installation and system integration services to private entities and public clients, such as local authorities. Since acquisition of Eryma in 2017, the business also installs video surveillance networks.

Headquartered in Issy-les-Moulineaux, the business has a combined staff of 4,000 across 50 facilities based in France, Belgium and Switzerland. It reported sales of €400m in 2017.

People 
Latour Capital – Philippe Leoni (founding partner); Maxime Gutton (partner); Pierre-Olivier Mintrone (chargé d'affaires).
Quilvest Private Equity – Thomas Vatier (partner); Loeïz Lagadec (principal); Hichem Hadjoudj (senior associate).
BPI France – Alexandre Ossola (director); Alexis Guinard (investment director); Nicolas Sluys (senior investment manager).
Andera Partners – Arnaud Faure (partner); Jean-Baptiste Bessieres (investment director).
BNP Paribas Développement – Jean-Charles Moulin (director); Delphine Larrandaburu (investment director).
Paluel Marmont Capital – François Poupée (director); Thomas Geneton (partner).

Advisers
Equity – Bryan Garnier & Co, Thibaut de Smedt (financial due diligence); Willkie Farr & Gallagher, Paul Lombard (legal).
Vendor – DC Advisory, François Prioux (corporate finance); Mayer Brown (legal); McDermott Will & Emery, Henri Pieyre de Mandiargues (legal); KPMG (financial due diligence); Agilys Avocats, Baptiste Bellone, Carolle Thain-Navarro (legal); Dentons, Julie Caussade, Emmanuelle van den Broucke (legal).
Company – The Silver Company, Stéphane Argyropoulos (corporate finance); Finaxeed, Vincent Rivaillon (corporate finance).  

• Tweet  
• Facebook  
• LinkedIn  
• Google plus  
• Send to  

• Topics
• Buyouts
• Exits
• France
• Technology
• France
• Quilvest Private Equity