Mezzanine debt: a vital source of financing for SMEs

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An innovative approach to private debt that puts ESG at the heart of financing

Our flexible approach combines mezzanine debt and equity to offer a financing structure that fits the needs of entrepreneurs and the maturity of their projects. Our selected solutions fully integrate environmental and social considerations, making private debt a vital source of financing for the sustainability players of the future.

Adapting to the needs of entrepreneurs

Our flexible approach caters to three different situations: sponsorless (management support), mezzanine development (growth funding) and sponsored (transactions invoving shareholding financial partners). A hybrid of mezzanine debt and equity, our strategy places priority on maintaining an attractive coupon rate, without sacrificing returns on equity, while ensuring the diversification of risks (equity sponsors, sectors, business models, company size).

Financing projects with high growth potential

Building on more than 10 years of experience in mezzanine debt, our team seeks to identify the best investment opportunities through exposure to long-term structural trends. We favour businesses that support the environmental and energy transition (products and services for the future), that are associated with health and wellbeing or that are active in tech

Unrivalled ESG analysis with a difference

The consideration of non-financial issues is an integral part of our decision-making process. It involves applying specific sector exclusions, researching potential sources of controversy, conducting comprehensive ESG analysis focusing on the most material sustainability issues and identifying areas for improvement. We commit to helping management teams improve their sustainability approach and strive to tie a share of our performance to ambitious ESG criteria (carbon footprint, diversity, engagement, etc.) tailored to each company.

3 vintage years

€160m invested

40+ transactions

10 years of investing

Bridging the gap between debt and equity financing

Private debt has become a vital source of financing for small and mid-sized companies. A main reason is because access to non-traditional funding to support their growth has been significantly facilitated. But another important factor is that SMEs can now rely on mezzanine debt players to fill the gap in financing left when banks become reluctant to lend and reduce their quantum. The support we provide through mezzanine debt can be flexibly combined with senior debt financing or equity investments, offering the versatile repayment options sought by this market segment.

Our investment criteria

Transactions

Sponsorless, mezzanine development, sponsored

Ticket size

Investment amounts ranging from €4 million to €10 million

Targets

Growing small and mid-sized companies with an EBITDA > €2 million

Sectors

Products and services for the future, health & wellbeing, tech

Our investments

WAAT

A pure player in electric vehicle charging covering the entire value chain

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Orès

Covering the entire digital marketing and communications ecosystem

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Eklo

Innovative hotel chain that revisits standard budget accommodation

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December Digital

Leader in website creation and SEO in France

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Afitex

French leader in geosynthetics manufacturing

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Solice

French leader in the construction and renovation of heating systems, an important vector in the energy transition

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Our investment team

Diego APONTE-VARGAS

Managing Director & Head of International Strategy

Valentine FAUROUX

Principal

Suzanne TRAN

Principal

Théodore LECOMTE

Senior Associate

Our investment expertise

Private equity

MULTI-STRATEGY PRIVATE EQUITY

A diversified range offering private access to the best sustainable funds and assets in Europe.

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Ocean impact

Blue Ocean

SWEN BLUE OCEAN

An impact investment strategy that invests directly in startups whose innovations are helping to regenerate ocean health.

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Tech for Good

SWEN Private Equity Multi-stratégie

VENTURE CAPITAL TECH FOR GOOD

An innovative approach to fund the growth of Tech for Good players and promote innovations for Nature’s benefit.

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Infrastructure

MULTI-STRATEGY INFRASTRUCTURE

A multi-strategy and co-investment expertise to finance tomorrow’s infrastructure for a sustainable economy.

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Climate impact

SWEN IMPACT FUND FOR TRANSITION

An impact investment strategy to support the deployment of green assets and accelerate the decarbonisation of the economy.

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