Kartesia supports FCDE in the acquisition of Kermel Group with unitranche financing

Kartesia, the European specialist provider of capital solutions for small and mid-sized companies, is pleased to announce it has provided an Unitranche facility to support FCDE (“Fonds de Consolidation et de Développement des Entreprises”) in the acquisition of Kermel Group (“Kermel” or “the Group”) from Qualium Investissement, alongside the management team led by Philippe Declerck. The deal also allows the management team to become shareholders of the Group.

Based in Colmar (Haut-Rhin, France), the historical centre of its production and expertise, Kermel is specialized in the development, design and production of high-performance technical textile fibre for the manufacture of fire-resistant personal protective garments for firefighters, military personnel, police forces and industry workers.

The high performance of the Kermel fibre, combined with a differentiating approach based on co-engineering of bespoke textile solutions with end-users, has enabled Kermel to become the European leader, internationally recognized by all players in the value chain. Historically positioned in Europe, notably in France and Germany, Kermel capitalizes on a diversified portfolio of top-tier customers with whom the group maintains solid and regular relationships. Kermel is pursuing its international expansion, in particular increasing its presence in North America, which now accounts for around 40% of its business.

The Group’s underlying markets are growing strongly worldwide, reflecting the need to increase the protection and physical integrity of end-users against the dangers represented by fire and electric arcs, while increasing their potential for intervention.

Kermel is strategically positioned to capture this growth and has a strong position in the PPE manufacturing value chain, with its fibre and textile solutions helping to ensure its primary vocation of protecting human lives. The shared ambition of FCDE the management team and Kartesia is to support the group in its development strategy, serving the safety of end-users, and the commitment of its teams to Corporate Social Responsibility:

– by reinforcing its industrial base;
– by intensifying R&D to develop ever more exclusive properties for Kermel fibre and its textile solutions;
– by supporting its international business development.

The capital was deployed from Kartesia’ Credit Opportunities fund (KCO V and VI). The deal team at Kartesia included Matthieu Delamaire, Julien Rigon, Antonin Ramon and Hugo Thomelin.

Julien Rigon, Partner and Head of France at Kartesia, commented: “We are delighted to support FCDE in the acquisition of Kermel, a global leading producer of meta-aramid fiber used in the manufacturing of fire protective clothing. We are really impressed by the Group’s differentiated positioning underpinned by its ability to offer a wide range of best-in-class customized solutions. We look forward to continuing to work with FCDE and Kermel’s management team to carry out the Group’s ambitious strategic growth plan.”