Triton, Davidson Kempner sell Via Location to trade

Francesca Veronesi
25 October 2019

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Private equity firms Davidson Kempner and Triton Partners have sold Via Location, a commercial and industrial vehicles fleet, to domestic peer Fraikin, also PE-backed.

Founded in 1944 and based in Colombes, near Paris, Fraikin has 58,000 vehicles in circulation in 15 countries. It generated a €683m turnover in 2017 and employs 2,800 people.

The senior debt lenders, including Värde Partners, Alcentra, Canyon, Barings and Triton, agreed to convert a large part of their debt positions (60%) into equity in a debt-for-equity swap in 2017.

A year later, the group was recapitalised, with a significant reduction of its holding debt by approximately €500m, according to a statement by Fraikin from April last year.

Triton declined to comment on the transaction.

Previous funding
Edmond de Rothschild Capital Partners (EdRCP) first backed Via Location's management buyout in 2004, acquiring a 52% interest in a deal valuing the business at €182m. Debt represented two-thirds of the EV, Unquote reported at the time. A €86m recap in July 2006 allowed 92% of investors' money to be returned.

Three years later, Weinberg Capital Partners took a majority stake in Via Location through an SBO that valued the business at €350m. EdRCP generated a money multiple of 2.6x and an IRR of 37% on its partial exit and reinvested in the buyout for a 20% stake. Rothschild had been mandated in early 2007 to find an acquirer.

Societe Generale, the co-arranger of an €86m recap in July 2006, underwrote the €96m three-tranche senior debt package and an extended credit line for the company, while ICG provided a €35m warrantless mezzanine facility. Bridgepoint also acted as minority investor on this transaction.

ICG became Via Location's majority owner though a tertiary buyout in 2013. The business was turned around in 2015 and two years later sold to Triton and Davidson Kempner.

Company
Via Location is an industrial and commercial vehicle rental company specialised in long-term truck rentals. The business operates a network of 55 agencies in France and Benelux, employing 600 people, according to its website. Its revenues amounted to €150m in 2017.

The business has origins dating to 1906 and is headquartered in Paris.

People
Equity – Rothschild & Cie (corporate finance); Latham & Watkins (legal).
Vendor – Ondra Partners (corporate finance); White & Case (legal).