Target Information

VITACUIRE, founded in 1952, is a leading manufacturer of frozen products primarily based on puff pastry, including appetizers and individual snacks. The company operates from Meyzieu, France, where it has been since 1972. It is currently led by Anthony Krief, the third generation of the Krief family, who took over the management in 2022, following a successful transition from his father, Jean-Yves Krief, who continues to provide strategic support. VITACUIRE employs 150 people and reported a revenue of €38 million, with 20% of sales generated from international exports.

The company is renowned for its range of frozen appetizers, such as mini pastries, empanadas, and sausage rolls, as well as a variety of snacks like friands and baskets. These products are sold under private labels and VITACUIRE’s own brands, including Bistro Emile and Miam & Snack, to various distribution channels including supermarkets, freezer centers, and restaurants.

Industry Overview in France

The French frozen food industry has shown robust growth in recent years, propelled by a combination of changing consumer preferences and increased focus on convenience. With busy lifestyles driving demand for quick, easy-to-prepare meals, frozen foods have become a staple in many households. The rise in home cooking during the pandemic has further amplified this trend, leading to a surge in both retail and dine-in frozen product sales.

Additionally, the rise of plant-based alternatives and healthier frozen options has diversified the market, allowing companies like VITACUIRE to innovate and expand their offerings to meet evolving consumer demands. Companies in this sector are leveraging advancements in technology to enhance production efficiency and maintain the quality and safety of their products, which is crucial for sustaining consumer trust.

The competitive landscape showcases several players; however, VITACUIRE's focus on high-quality, tasty, and innovative frozen foods sets it apart. The company's strong market position, supported by its rich history and family-driven values, provides a solid foundation to capitalize on future growth opportunities.

Rationale Behind the Deal

The investment from ALTIS Capital marks a significant milestone in VITACUIRE's strategic development plan for 2024-2028. By acquiring a minority stake, ALTIS Capital aims to provide the necessary resources and expertise to propel VITACUIRE’s growth both nationally and internationally. This deal is designed not only to provide liquidity for existing investors who have been on board since 2018 but also to support VITACUIRE’s ambitions in expanding its product range, particularly in the snack sector, and enhancing its distribution channels through innovative processes and product development.

Furthermore, VITACUIRE’s leadership recognizes the synergy with ALTIS Capital, which specializes in bridging the gap for small and medium enterprises transitioning to larger entities. The partnership is expected to reinforce VITACUIRE’s operational capabilities, drive innovation, and enhance its competitive positioning in the global market.

Investor Information

ALTIS Capital is an independent investment management firm based in Lyon, focusing on capital development within the industrial sector. The firm aims to contribute to the reindustrialization of French regions and to nurture sustainable industrial champions. Through its FAB AURA-BFC fund, established in collaboration with the Auvergne Rhône-Alpes region, ALTIS Capital seeks to provide equity financing to help regional businesses transition, innovate, and decarbonize their industrial processes.

ALTIS Capital's expertise is bolstered by industry veterans who have successfully navigated similar transitions, enabling them to offer not just capital but also strategic advice and support to portfolio companies. The firm's minority investment approach allows for collaborative growth while preserving the entrepreneurial spirit of the businesses it invests in.

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The entry of ALTIS Capital into VITACUIRE’s capital can be assessed as a strategic move that holds potential for significant benefits. The partnership aligns with VITACUIRE’s mission to innovate and expand, particularly in international markets where demand for high-quality frozen foods is on the rise. Moreover, ALTIS Capital's specialization in supporting SMEs in their growth transitions adds substantial value, providing not just financial backing but also strategic insights.

Given VITACUIRE’s established market position and the growing global appetite for frozen foods, this investment could indeed prove fruitful. The company’s plans to diversify its product offerings and distribution channels underscore its proactive approach to capitalize on market trends, enhancing its competitiveness.

In conclusion, this deal could be viewed as a positive investment opportunity. VITACUIRE is poised for growth in a dynamic industry, and the backing of ALTIS Capital may provide the necessary momentum for achieving its ambitious objectives. If managed effectively, this alliance could lead to enhanced shareholder value and reinforce both companies' commitments to sustainable industrial development.

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