Vinventions, the most innovative and most trusted provider of Complete Wine Closure Solutions worldwide, announces today the successful completion of its Group Refinancing to support its growth plans.
Existing shareholders led by Noël Group LLC, Bespoke Capital Partners and Compagnie du Bois Sauvage injected USD 40 million to support the attractive development of Vinventions Group. In addition, Vinventions raised USD 59 million of senior debt, USD 29 million of subordinated debt and USD 21 million from ancillary refinancing instruments. The newly raised, mostly European, funds will repay the existing US-based senior and mezzanine financing as well as some drawings made under the revolving credit facility.
This proactive refinancing taps into the attractive European financing markets and will result in reduced interest rates and substantial cash flow savings, as well as an improved balance of the debt structure between the main regions in which Vinventions operates.
“We are deeply thankful for the trust and commitment we received from our Vinventions core shareholders led by our Chairman Marc Noël and from our existing and new bank partners in Europe and USA. The attractive growth path of Vinventions—built around breakthrough innovations and strategically selective acquisitions—has gained excellent momentum and this successful refinancing will enable us to execute the next phase of our growth plan supported by a very strong balance sheet,” says Dr. Heino Freudenberg, President & CEO of Vinventions. “We welcome our new partners to the Vinventions family!”
Denis Van Roey, Chief Finance Officer of Vinventions and architect of the new Financing structure, adds: “Thanks to the strong support of our shareholders and of new financing partners, we are able to optimize our financing structure, reduce our cost of financing and strengthen our balance sheet. This will result in a higher free cash flow, which we will reinvest into our innovation efforts, very targeted acquisitions and the continued growth of Vinventions worldwide.”
The transaction was coordinated by ING (also acting as Agent) who next to BNPP Fortis Bank, Belfius Bank and Fifth Third Bank will provide the senior facilities as well as a syndicated factoring line. L’Intégrale, Bois Sauvage and Marc Noël will provide the subordinated debt. Allen & Overy Brussels acted as borrower’s counsel, Linklaters Brussels acted as lender’s counsel and EY Belgium as tax advisor.
Vinventions was created in 2015 by family entrepreneur Marc Noël together with Bespoke Capital Partners, Heino Freudenberg and additional partners. Vinventions’ vision is to be the most innovative and most trusted global supplier of Complete Wine Closure Solutions to the still and sparkling wine industry. Since January 2015, Vinventions has acquired Nomacorc, Ohlinger Group and Syntek Bouchage and has created strategic partnerships with industry leaders such as Cork Supply (natural cork). This led to the creation of Vinventions’ Complete Wine Closure Solutions, which encompass Nomacorc (PlantCorcs), Syntek (synthetics), Ohlinger (natural corks), Vintop (screwcaps) and Vinolok (glass closures) as well as Wine Quality Solutions (oenological tools and services) and Wine Marketing Solutions (marketing services and wine consumer insights). Today, Vinventions employs over 550 associates globally and operates seven production sites in USA, Belgium, Germany, France, Argentina, South Africa and China. Vinventions protects every eighth bottle of wine worldwide with its closure solutions, making it the second largest wine closure supplier worldwide with strong organic sales growth in 2017. The leadership values of Vinventions are based on customer proximity, innovation, local entrepreneurship, open teamwork, sustainability and long-term responsibility. Find out more at www.vinventions.com.
Denis Van Roey, CFO