CEWE acquires 80 percent in photo app specialists from France
Oldenburg/ Paris — The fast-growing French market leader for photofinishing apps will become part of the European photofinishing market leader: CEWE Stiftung & Co. KGaA (SDAX, ISIN: DE 0005403901), headquartered in Oldenburg, has reached an agreement with the owners of the Cheerz Group (Paris) on a shareholding. The Cheerz Group (Paris) is growing dynamically in France, Spain and Italy with its premium brand “Cheerz,” which is primarily targeted at smartphone users. — CEWE, which was founded in 1961 and has around 3,500 employees, is initially acquiring around 80 % of the shares in the Cheerz Group for 36 million euros. The transaction values the company at slightly more than one and a half times expected 2018 revenue. The CEWE Board of Management initially expects the takeover — including purchase price allocation and transaction costs — to have a negative EBIT effect of around 4 million euros in the current business year.
Sustained positive effect on enterprise value expected
The CEWE Board of Management expects the investment to strengthen business in France and Southern Europe through additional growth in mobile business. He also anticipates synergies in the areas of mobile competence, purchasing, production and logistics. “We are certain that this investment will have a lasting positive effect on the value of the company as a whole,” says Dr. Christian Friege, Chairman of the Board of Management of CEWE Stiftung & Co. KGaA. “In addition to the classic synergies, we were convinced by the high level of customer orientation, the user-friendly solution, the positioning as a premium brand, and the technological expertise of the strong, entrepreneurial management team. We want to maintain this positive culture and these competencies in exactly the same way. Cheerz stands for a convincing idea: A fast way to a cool product!”, Friege continues.
Aurelien de Meaux and Antoine Le Conte, founders of Cheerz, add: “We are delighted to have found a partner in CEWE that stands for the highest production quality and scalability and can thus best support our dynamic growth in France and Southern Europe. We want to grow into a new dimension with a true European champion — quickly, easily and in a direct way. Just the way we are. It was important for us that CEWE appreciates and wants to maintain our corporate culture. It’s a perfect fit!”
Advisers to CEWE Stiftung & Co. KGaA: P+P Pöllath + Partners and its French partner law firm Jeantet
Otto Haberstock (Partner, Lead, M&A, Munich)
Dr. Eva Nase (Partner, Corporate and Capital Markets, Munich)
Daniel Wiedmann (Counsel, Merger Control, Frankfurt)
Philipp Opitz (Senior Associate, Corporate and Capital Markets, Munich)
Karl Hepp de Sevelinges (Partner, Lead M&A, Paris)
Michael Samol (Counsel, M&A, Paris)
Ruben Koslar (Associate, M&A, Paris)
Gabriel di Chiara (Senior Associate, Tax, Paris)
Fréderic Sardain (Partner, IP, Paris)