Edmond de Rothschild Investment Partners, through its ActoMezz team and Rive Private Investment are finalising a sponsorless transaction alongside Yann Reboulleau, founding manager of the Philogeris Group. This transaction will allow its founding manager to take full control total of a group comprising 12 of its own establishments and under management and to offer liquidity to the funds managed by 123 Investment Managers who have held an equity stake since 2010. This latter will nevertheless continue to support the group in its external growth projects, especially by being able to purchase EHPADs (Etablissements d'Hébergement pour Personnes Agées Dépendantes – Sheltered home for elderly dependent persons) directly in order to be able to delegate management to Philogeris.
The investment by ActoMezz and Rive is being carried out in the form of subordinated bonds for a total amount of €31.1m, including a portion that is earmarked for financing future purchases of EHPADs. The transaction is combined with a rebalancing of bank debt conducted with the support of BNP Paribas and Banque Populaire Val de France.
The Group has steadily grown over the last twelve years and is now ranked 15th among French EHPADs by pursuing 2 models: Directly-owned EHPADs and EHPADs managed on behalf of third parties (in particular on behalf of funds managed by 123 Investment Managers and, more recently on behalf of public bodies).
Yann Reboulleau, President of Philogeris Group states: “This transaction is truly a milestone in the Group’s history, confirming the attractiveness for investors seeking an original development model that explores segments of this line of business that are often neglected by other operators. The trust in the 123 Investment Managers team was a key success factor for us over the last years. We find that our new partners are highly sensitive to the originality of our approach, and this bodes extremely well for development during this new period.”
Antonio Graça, Associate Director of 123 Investment Managers says: “Philogeris’ trajectory is nothing short of exemplary. Created ex-nihilo in 2010 in partnership with Yann Reboulleau, this platform perfectly illustrates the buy-and-build strategy aimed at creating high added-value that we are implementing in carefully selected lines of business and in particular, the medico-social field in which we have invested more than €130m over the last 8 years. We are quite happy to be able to continue to support Philogeris as part of a management partnership for establishments that belong to our funds.”
Arnaud Faure, Associate Director of ActoMezz at Edmond de Rothschild Investment Partners, concludes: “We are delighted to support Yann Reboulleau and his team in his development project. In addition to a good track record of profitable growth, his original management model for third parties allow him to establish and maintain a natural channel of external growth opportunities. This transaction once again reflects the DNA of ActoMezz. For over ten years now, a director convinced of the development opportunities for his group has been reinvesting massively, thus allowing him to (re)take control while taking advantage of flexible governance alongside a partner with a solid financial base for supporting him.”
This investment comprises the last transaction completed by the ActoMezz II funds. Meanwhile, the ActoMezz team just completed the fundraising for its 4thround of financing of €315m.
Edmond de Rothschild Investment Partners: Arnaud Faure, Jean-Baptiste Bessières, Antoine Soucaze
Rive Private Investment: Barthélemy Renaudin, Daniel Emersleben
123 Investment Managers: Antonio Graça, Pierre Reveillon, Antoine Paulhac
Philogeris: Yann Reboulleau, Marie-Gabrielle Lacroix
Banks: BNP Paribas (Jean-Baptiste Engel, Audrey Tarrière, Geoffroy Pelletrat de Bordes), BNP Paribas Asset Management (Christophe Carrasco, Cyril Loiry), Banque Populaire Val de France (Franck Ambonati)