Scotto Partners advises Babcock Wanson’s management team in connection with Kartesia’s acquisition of a majority stake in the group

Scotto Partners advises Babcock Wanson’s management team in connection with Kartesia’s acquisition of a majority stake in the group

After an initial LBO in 2016, Babcock Wanson, the industrial process heating equipment and solutions specialist, will have a new majority shareholder. Kartesia has entered into a sale agreement with FCDE (Fonds de consolidation et de développement des companies) for 100% of Babcock Wanson’s share capital. The transaction calls for a substantial reinvestment by top management into the new project led by Kartesia.

The final completion of the transaction remains subject to customary regulatory conditions.

Babcock Wanson is a leading European provider of industrial process heating equipment and solutions (primarily boilers and burners) and high value-added associated services. The Group is well positioned to capitalize on a growing market, as a supportive regulatory environment aligns the challenges of environmental and energy-efficient improvements expected of European industry. The Group benefits from strong relationships with resilient and growing industries such as the agri-food industry and the pharmaceutical markets. Active in eight European countries, Babcock Wanson is ideally positioned to pursue the consolidation of a market which remains highly fragmented.

Cyril Fournier-Montgieux, Babcock Wanson CEO: “This transaction is an important step for the development of our Group and we are excited to pursue the growth of our company with the support of Kartesia. Since 2016, FCDE has accompanied Babcock Wanson in its carve out from the Groupe CNIM and in its transformation, meeting the needs of the Group’s desired expansion. The strengthening of Kartesia’s stake in our Group will bring additional means to accelerate our development pace both organically and through external growth transactions.”, ”

Babcock Wanson’s top management team was advised in this secondary LBO by Scotto Partners, with a team led by Isabelle Cheradame (partner), assisted by Anaïs Pinton and Jules Gaillard as to corporates matters, Jerôme Commercon (partner) assisted by Martine Le Roux and Loïc Pipaud for the tax-related aspects as well as Bertrand Thibaut (counsel) and Alban Tourneux on employment law.

On the financial aspects, Babcock Wanson’s top management team was advised by the Coruscans team, led by Frédéric Balochard, Benjamin Lobel and Florian Pascaud.

Other legal advice:

Kartesia was advised by De Pardieu Brocas Maffei, with a team led by Magali Masso and Joanna Gumpelson (partners) and Anne Febvre, Fabian Guéroult and Sarah Dirani (associates) as to corporate matters, Priscilla van den Perre (partner), Arthur Leclerc (counsel), and Gauthier Pinabiaux (associate) for the tax-related aspects, Laëtitia Gavoty Tolot (counsel), Anthony Gioe’ de Stefano (associate), and Hugo Mougel on competition law, Sébastien Boullier de Branche (partner) and Julien Willemot (associate) for the financing-related aspects, Arnaud Pince (counsel) and Côme Chaine (associate) on the regulatory aspects, and Philippe Rozec (partner), Louise Thiébaut (counsel), and Perrine Piat (associate) on employment law.

The sellers were advised by Ayache, with a team led by Sandrine Benaroya and Louise Abbou as to corporate matters and Frédéric Fuchs on competition law and by Gramond & Associés with Xavier Gramond, Corinne Cousseau and Mélanie Labossais Gramond.