Orapi Group restructures its balance sheet and gains liquidity financing with support from Kartesia
Kartesia is pleased to announce that an agreement was reached with the main financial creditors and the majority shareholder of Orapi Group (the Company) to restructure the balance sheet and establish a new liquidity financing of 17m€, entirely provided by Kartesia, to finance the Group’s operations. The investment has been made from Kartesia’s KCO funds.
Following the restructuring of the vast majority of the Company’s existing debt and bond financing instruments, which will be converted into bonds redeemable for shares (Obligations Remboursables en Actions), Kartesia will hold 19.9% of the Company’s share capital.
The transaction remains subject to the granting by the Autorité des Marchés Financiers of an exemption to the obligation to launch a tender offer in relation to the shares of the Company and to the approval by the general assembly of Orapi’s shareholders of the issuance of bonds redeemable for shares and of an increase of the share capital reserved to Kartesia.
Founded in 1968, Orapi Group designs, manufactures and distributes high value added products through two divisions. In the professional hygiene sector via its Orapi Hygiène division, it provides cleaning and disinfection products and in the industrial sector via its Orapi Process division, it provides maintenance and care products for industrial machines and tools.
Orapi Group benefits from high barriers to entry in its core markets, due to high quality standards on the large range of products on offer to customers, its full control over the value chain from R&D to distribution to both large and smaller customer accounts, and unique expertise in product development and manufacturing relying on 7 production centres and 3 research laboratories around the world. The Company employs a large salesforce of ca. 450 commercial experts, enabling it to maintain a leading position on the French market and and key marketshare abroad.
Through this transaction, Kartesia partners with the Company in the pursuit of its commercial development as well as in the streamlining of its operations, by providing Orapi Group with new liquidity aimed at financing its organic growth while significantly reducing its indebtedness profile. This will enable Orapi to continue its development in a growing market.
Guy Chifflot, Chairman of the Board of Directors of Orapi Group, stated: "The completion of this major financial restructuring operation is a new step for our group that will allow it to return to a stabilised development trajectory."
Damien Scaillierez, Managing Partner of Kartesia, said: "We are happy to support Orapi in its on-going operational optimisation by providing new liquidity and significantly improving the structure of its balance sheet. We believe that the group currently benefits from a high quality management team and a number of long-term advantages in its sector, enabling it to assert its position as a first class manufacturer and distributor of hygiene products and process solutions in France and abroad, thereby meeting all of its customers’ needs."