European Capital Limited has invested 4 million euros ($5 million) in mezzanine bonds to support the acquisition of Precisium Group by a company controlled by Alliance Industrie‘s shareholders. European Capital first invested in Alliance Industrie in December 2006. Founded in 1989, Paris-headquartered Alliance Industrie purchases and distributes spare parts for automotive and commercial vehicles in France and in the UK.
European Capital Limited (“European Capital”) announced today that in April it invested €4 million in mezzanine bonds to support the acquisition of Precisium Group by a company controlled by Alliance Industrie’s shareholders. Following the transaction, the combined entity is the market leader in the trading and distribution of automotive spare parts in France and the UK.
“We are very pleased to invest once again in mezzanine bonds to support Weinberg Capital Partners and management in its acquisition of Precisium Group,” said Tristan Parisot, Managing Director of European Capital Financial Services Limited (“ECFS”). “This investment demonstrates European Capital’s ability to provide flexible financing solutions, including follow-up commitments to growing portfolio companies.”
“The joining of Precisium Group and Alliance Industrie will create the market leader in France,” stated Stephane Legrand, Managing Director of ECFS. “This combined entity is expected to generate significant growth and value through synergies.”
European Capital first invested in Alliance Industrie in December 2006. Founded in 1989, Paris-headquartered Alliance Industrie purchases and distributes spare parts for automotive and commercial vehicles in France and in the UK. Alliance Industrie serves as a key link between its network of owned or affiliated car and commercial vehicle part distributors and a group of selected suppliers. The company offers over 100,000 SKUs through its subsidiaries or independent network members, mainly to independent garages and car body shops. Alliance Industrie has over 2,500 employees.
Founded in 1961, Precisium Group is a major trading group for the distribution of automotive spare parts in France. Similar to Alliance Industrie, Precisium Group trades spare parts between a network of car parts suppliers referenced by the group and a network of affiliated distributors, who sell spare parts to independent garages and body shops. Precisium Group is headquartered in Sainte-Genevieve-des-Bois, France and has over 170 employees.
“We appreciate European Capital’s capacity to value the management team’s strategic rationale, positioning themselves as a long-term partner of Alliance Industrie, which has the potential to become a leading European player,” stated Philippe Klocanas, Partner at Weinberg Capital Partners.
“We were glad to count European Capital among our early supporters in the process of acquiring Precisium Group,” stated Jean-Jacques Lafont, Alliance Industrie President. “This addition immediately positions the combined group as the leader in the distribution of automotive spare parts in France and the UK.”
Since its inception, European Capital has invested €3.4 billion in over 100 companies in Europe. For more information on European Capital’s portfolio, go to http://www.europeancapital.com/en/pages/our_portfolio/portfolio.aspx.
ABOUT EUROPEAN CAPITAL European Capital is an investment company for pan-European equity, mezzanine, unitranche and senior debt investments with €1.2 billion in assets under management. European Capital is a wholly-owned affiliate of American Capital, Ltd. (“American Capital”). European Capital is managed by European Capital Financial Services (Guernsey), a wholly-owned affiliate of American Capital (the “Investment Manager”). The Investment Manager has offices in London and Paris. As of 31 December 2012, the Investment Manager had 5 investment teams with 22 investment professionals and employed 27 support staff. European Capital and its affiliates will consider senior, unitranche and mezzanine debt investment opportunities from 10 million to 40 million and up to 400 million for One Stop Buyout®, in either in euros or in sterling.
ABOUT AMERICAN CAPITAL American Capital, Ltd. (Nasdaq: ACAS) is a publicly traded private equity firm and global asset manager. American Capital, both directly and through its asset management business, originates, underwrites and manages investments in middle market private equity, leveraged finance, real estate and structured products. American Capital manages $21.2 billion of assets, including assets on its balance sheet and fee earning assets under management by affiliated managers, with $112 billion of total assets under management (including levered assets). Through an affiliate, American Capital manages publicly traded American Capital Agency Corp. (Nasdaq: AGNC) with approximately a $13 billion market capitalization and American Capital Mortgage Investment Corp. (Nasdaq: MTGE) with approximately a $1.5 billion market capitalization. From its eight offices in the U.S. and Europe, American Capital and its affiliate, European Capital, will consider investment opportunities from $10 million to $750 million.
Contact: European Capital Financial Services Limited + 33 1 40 68 06 66 Stephane Legrand, Managing Director
SOURCE European Capital Limited