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FINANCIAL AND LEGAL INFORMATION
1
Presentation and history of the Company
Sector
Country
Date
of investment
Residual cost
in €m
Fair value
in €m
% of the portfolio
at fair value
France
2013
37.9
81.9
9.4
SNACKS DEVELOPPEMENT
1) Business description
Snacks Développement is one of Europe’s leading private-label
savoury snacks manufacturers. The company has developed its
expertise in extruded and stackable snacks and crackers over
more than 20 years.
Following the 2016 acquisition of Kolak in the UK, Snacks
Développement now produces more than 800 SKUs for the
leading food retail chains in Europe, with a focus on France, the
UK, Spain, Italy and Benelux. Its annual production is 53,000
metric tonnes.
2) Why did we invest?
Snacks Développement is the undisputed leading French
producer of private label savoury snacks. The companyproduces
superior quality products, has state-of-the-art production
facilities and has had proven international successes. Snacks
Développement is committed to continuously launching new
products through a structured innovation process. The quality
of its products stands out in most blind panels.
The company operates on a large, growing and profitable
European savoury snacks market with (i) common product
categories across countries (e.g. stacked crisps), (ii) growing
penetration of private label products and (iii) barriers to entry.
3) How do we intend to create value?
The investment thesis consists in creating a leading
European-wide private label player of savoury snacks. Snacks
Développement aims to pursue its growth in France and the rest
of Europe, through intensive product innovation and investment
in manufacturing facilities. The company also seeks to grow
through acquisitions in Europe.
4) What has been achieved?
Since investment, Snacks Développement has focused on a
number of value creation drivers. It has increased sales in France
through the development of new product categories and the
penetration of new distribution channels. International sales
have also grown, thanks to the development of stacked crisps
volumes sold to selectedEuropean retailers. Inparticular, Snacks
Développement signed a contract with the largest Spanish
retailer. Lastly, the company has increasedoperational efficiency.
In October 2016, the company completed the acquisition of
Kolak, one of the main producers of crisps and snacks in the
UK with sales of about €140m, which expanded the company’s
crisps andpopcornproduct range. Thenewgroupemploys 1,400
people at six production sites.
5) How is it performing?
For the 2016-17 financial year (FYE 31 January), the company
posted sales of €259m vs €103m in the previous year, owing to
growth of about 10% in France and to the acquisition of Kolak.
The company completed its construction works enabling it to
increase stackable snacks production capacity both in France,
to serve international markets, and to penetrate the UKmarket.
For the 2017-18 financial year, the companyprojects an additional
growth in sales of about 10%.
The valuation of the investment in Snacks Développement grew
by €35.2m during the 2016 financial year.
6) How will we crystallise value?
The company’s leadership across Western Europe and growth
profilewill be highly attractive toboth trade and financial buyers.
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REGISTRATION DOCUMENT
1
ALTAMIR 2016