Turenne reaps 2.8x in Quadrimex SBO

Ellie Pullen
18 December 2014

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Turenne Investissement, alongside Paluel-Marmont Capital, has generated a 2.8x money multiple through the sale of Quadrimex Group, a French speciality chemicals firm, to Turenne Capital Partenaires and FIA Partners.

The investment also generated an IRR of 21% for Turenne Investissement over the five-and-a-half-year holding period.

Turenne Investissement and Paluel-Marmont have sold the asset to a new FIP fund of Turenne Capital Partenaires – of which Turenne Investissement is a subsidiary – and FIA Partners. FIA is the holding company of Claude Léoni, the founder of Spir Communication.

The duo have invested in the company alongside management members Michel and Patrice Reisch, who initiated the tertiary buyout. Furthermore, 45 members of staff have taken part in the transaction.

Debt
Idinvest Partners provided a mezzanine facility as part of the deal. The transaction also reportedly includes a senior debt facility provided by Quadrimex's historical lenders, according to Capital Finance.

Previous investment
Turenne Investissement and Paluel-Marmont acquired Quadrimex in July 2009 for €12m. Turenne acquired a 40% stake for an equity injection of €2.7m, while Paluel-Marmont reinvested €1.5m in return for a 20% shareholding.

CIC, Societe Generale and Societe Marseillaise de Crédit provided a €4m debt package for the buyout, according to unquote" data.

Paluel-Marmont was already a backer of the company, having taken part in a management buyout of Quadrimex in June 2004. Paluel-Marmont invested €2.3m in the business for a 50% stake, according to unquote" data.

Company
Founded in 1986, Quadrimex is headquartered in Cavaillon with an additional site in Leuna, Germany.

The company is a producer of speciality chemicals and related services, including de-icing agents for roads, industrial deliquescent agents and products for water treatment and filtration.

Quadrimex generated €40m in turnover this year.

People
Turenne Capital Partners deputy CEO Benoît Pastour and account manager Stéphane Saudo worked on the deal alongside FIA's Guillaume Somekh and Franck Urbanski. Paluel-Marmont CEO Xavier Poppe and partner François-Xavier Deren worked on the exit, while Idinvest's François Lacoste and Nicolas Nedelec worked on the mezzanine facility.

Advisers
Equity – Joffe & Associés, Romain Soiron, Aymeric Degremont (Legal, tax); Exelmans, Eric Guedj, Philippe Chatellier (Financial due diligence); Lamartine Conseil, Olivier Renault, Gary Levy (Legal).
Company – UGGC, Michel Turon, Yves Mondellini (Legal).
Vendors – Lincoln International, François Rispoli, Arnaud Dudognon, Serge Palleau (Corporate finance); Woog & Associés, Frédérique Lafond (Legal).
Mezzanine – DLA Piper, Maud Manon, Julien Godlewski (Legal).