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09/2024

FINAXY acquired by CINVEN

FRANCE Brokerage EV €300–700M

Context

Cinven preemptively acquired a 54% majority stake in Finaxy Group from Ardian Expansion. The transaction marks a "LBO Ter," where the founder and his management team significantly reinvested to pursue a new growth phase focused on international expansion. Following a successful four-year cycle where EBITDA nearly tripled, the new strategy aims to replicate Finaxy's French consolidation success in neighboring European countries. The deal maintains the existing unitranche debt provided by Barings, ensuring financial flexibility for continued external growth in specialized risks and mid-cap services.

In the past, the company had already been the subject of several LBOs, notably led by Equistone in 2014 and Ardian in 2020. These multiple LBO cycles illustrate the strong appeal for this type of asset.

FINAXY, which reported an EBITDA margin of [members only] in 2023, is valued in this transaction at an EV/EBITDA multiple of 15x–25x, representing a premium to the average currently observed in the Financial Services sector (12.3x).

-> Deep-dive in Financial Services market trends

Target

Founded in 2009, Finaxy Group has rapidly ascended to become the 10th largest multi-specialist insurance broker in France, managing nearly EUR100 million in commissions with a robust 30% profitability margin. The group operates through three strategic pillars: a B2B division serving SMEs and mid-caps, a B2C division focused on high-growth luxury and affinity niches (such as prestige cars and pet insurance), and a dedicated partnerships division with major bancassurers.

Ent. Value

€300–700M

Equity Value

[members only]

Multiples

EV / Revenue

4x–10x

EV / EBITDA

15x–25x

EV / EBIT

[members only]

Historical Financials (EUR)

Year
Rev
EBITDA
EBIT
2023
€50–100M
€10–30M
[members only]
2022
€50–100M
€10–30M
[members only]

Other operations with FINAXY

Other operations with FINAXY

List of similar M&A transactions (Date, Acquirer, Target, Country, Sub-sector)
DateAcquirerTargetCountrySector
07/2020ARDIANFINAXYFRANCEBrokerage
04/2014EQUISTONEFINAXYFRANCEBrokerage

REFERENCES

Valuation range: EV €300–700M

Revenue range: €50–100M

EBITDA range: €10–30M

EV/Revenue range: 4x - 10x

EV/EBITDA range: 15x - 25x

Note: This page provides detailed data on a private equity M&A transaction. Detailed and exact financial metrics for the acquisition of FINAXY by CINVEN are reserved for mynth community members. Register for free to unlock full data.

Authors: This transaction was contributed by a verified mynth contributor and cross-checked against available transaction documents and official company communications.

Acquirer: cinven