Libourne, June 11, 2014:

The management of Ceva Santé Animale announces a reshaping of its capital structure through a new round of financing which strengthens its position as majority shareholder and welcomes new investors to support the group in a new phase of development.

The new capital structure paves the way to the entry of Temasek who will invest alongside the managementas well as French and international financial investors, such as Euromezzanine and Sagard, historical partners of the group, and CDH Investments.

This transaction will support Ceva’s ambition to become the first independent player within the top 5 global animal health companies by 2020.

 

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Marc Prikazsky, Chairman & CEO of Ceva Santé Animale, with the support of the group’s advisors (Lazard and Weil), has just closed the negotiations to set up the new round of financing of the group’s 4th LBO.

The management retains the position of majority shareholders and has selected long term strategic partners eager to support the group’s future growth.

French partners reaffirm their confidence in Ceva

Euromezzanine and Sagard, which have been partners of Ceva for several years, will reinvest significantly in the new capital structure, demonstrating their continuous confidence in the management team.

Entry of a major international investor: Temasek

The transaction broadens the Group shareholder base with the entry of Temasek, as a significant minority and largest investor (outside management and their associates), which has chosen to support Ceva's development ambitions.

 ... And the leading Chinese investment fund

CDH Investments, the pioneering China-based fund, has a broad portfolio of investments in industry leaders, including among the top animal protein companies in China, the US and Europe. CDH will strongly support Ceva’s key growth initiatives in both China and new product lines.

Local investors alongside Ceva’s management

The managers and c.1,000 employees will strengthen their position as majority shareholder, thanks to the support from local financial investorsand retired managers as well as from Sofiprotéol which is willing to participate in the creation of a French global leader in the veterinary sector.

A sustained growth …

Ceva is among the top 10 global animal health business (and the 3rd independent group) and has posted for almost 15 years annual sales growth of more than 12%, reaching c.€700 million in 2013, while continuously improving its profitability.

The performance of the Group has benefited from a strong organic growth, driven by the fundamentals of the sector and significant and sustained investment in R&D, as well as from an active external growth policy: the last major transaction being the acquisition in December 2013 of Sogeval, the 5th animal health company in France, specialized in companion animals and ruminants.

... To support ambitious development

Through the reshaping of its capital structure, Ceva enters into a new phase of its development, based on the strengthening of its leading positions and the acceleration of its international expansion, which will position Ceva within the top 5 of the global animal health companies in 2020.

Commenting on the agreement, Marc Prikazsky, CEO of Ceva Santé Animale, said:

"I'm delighted that we have been able to bring together this diversified consortium of strong and committed investors. As we are making progress through the implementation of our 2020 ambition plan, it was essential to select partners who share our vision and can actively contribute to its achievement. We are grateful for the confidencethat our financial partners - new and old - have placed in us and I know that the committed and talented team we have at Ceva will ensure that we achieve success – Together”

 

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