AXA Private Equity has arranged a EUR220m unitranche facility for the acquisition of IPH by PAI Partners from Investcorp.
The deal represents the largest unitranche financing in Europe to date.
IPH is a distributor of industrial supplies in Europe. Founded in 1987 and historically based in Lyon, France, IPH provides its products and services through a multibrand, multi-specialist and multi-channel network. IPH is active in France, Belgium, the Netherlands, Germany and Romania, with approximately 3,000 employees and revenues of approx. EUR900m in 2011.
Olivier Berment (pictured), co-head of private debt and managing director at AXA Private Equity, says: “Providing this financing gives IPH the opportunity to pursue its consolidation strategy and take the next steps forward on its growth path. Unitranche financing has become an important way for companies to finance future investments and enhance value creation. With credit remaining scarce and banks reluctant to lend, we can expect the use of unitranche financing for acquisitions to increase throughout the year.”
Pierre Pouletty, chief executive of IPH, adds: “This line of financing provided by AXA Private Equity will help us to strengthen the company, further our consolidation strategy and pursue future acquisitions as we look to increase our presence in major European markets. It is a significant step for the future growth of the company.”
