Buyout Investments

Gautier

Activity

Gautier France is the French number 1 in bedroom furniture. Beyond its specialization in bedroom furniture, Gautier is active in office furniture, childcare furniture and young contemporary furniture (functional, multi-use furniture).
The Gautier brand (48% of revenue), a mid-range brand, is distributed via traditional channels: department stores and catalogue sales. The Gami range (47% of revenue) is sold by home furnishing specialists. And the children’s range of furniture is sold under the Galipette brand (5% of revenue).
Active in 40 countries and backed by 4 sales subsidiaries (USA, Benelux, Switzerland, Spain), exports account for 37% of the company’s revenues.

Context

During the first half of 1999, Dominique Soulard announced to the Seribo Group, then majority shareholder in Gautier France, that he wished to leave Gautier France because of differences in strategic planning.
On September 7, 1999, the Board of Directors decided to terminate Dominique Soulard, CEO. On September 9 1999, Gautier France went on strike. In the interests of customers, employees and shareholders, the strike ended 9 days later. On September 20 1999, Dominique Soulard resumed his duties as CEO.

Strategy

AXA Private Equity Fund and Dominique Soulard bought the Seribo Group’s controlling interest in Gautier France. After this transaction, AXA Private Equity Fund, majority shareholder in the buyout, managed the market transaction arising from the change of control in Gautier France, a company listed on the Second Market. This transaction, one of the biggest privatizations in France in 2000, brought a new dynamic to the business (more than 50 managers) became shareholders. Since the buyout, Gautier France has concentrated on domestic growth (very strong) and export development. However, they do not rule out mergers and acquisitions of overseas targets that could add value for the newly constituted group.
The objective of Gaultier France is to maintain its leadership in the bedroom market, to widen its product line to other market segments and to increase export sales.

Divestment

In December 2002, AXA Private Equity sold its controlling interest in the Gautier Group. This capital restructuring led to a sharp improvement in the management of the Gautier Group: the management and their Vendee industrial partners have been with the company since the LMBO set up by AXA Private Equity at the end of 1999 and became majority shareholders.