Chargeurs acquires Novacel

Chargeurs has agreed to offload its surface protection business, Novacel, to KPS Capital Partners in a transaction valued at approximately €230 million (around $248 million). This divestiture signifies a strategic shift for the French industrial enterprise as it aims to streamline its holdings, reduce debt, and generate capital for investments and shareholder rewards.

Chargeurs plans to reinvest about €30 million from the sale to acquire a 30% stake in Chargeurs Films de Protection SAS, the operational arm trading under the Novacel name. Novacel, a global leader in surface protection products such as films and tapes, operates six manufacturing sites and runs three R&D centers across France, Italy, and the United States. The legal proceedings were navigated with guidance from Paul Weiss Rifkind Wharton & Garrison LLP, representing KPS.

KPS Capital Partners views Novacel as a strategic acquisition within the surface protection industry. According to Pierre de Villeméjane, partner and co-head of KPS Mid-Cap Investments, Novacel's product portfolio, international presence, and strong brand are expected to complement KPS's operational strategy and financial resources, paving the way for future expansion and market penetration.

For Chargeurs, the divestiture of Novacel is a calculated move to concentrate its portfolio. The proceeds will support debt reduction, the development of remaining business units, and facilitate an exceptional dividend of up to €1.50 per share, conditional upon corporate approvals. This dividend is slated for disbursement by June 2027.

The completion of the transaction is subject to customary regulatory approvals, employee consultations, and the signing of definitive agreements. While the sale is anticipated to finalize by June, it notably does not initiate a mandatory tender offer for Chargeurs' shares, as confirmed by the French Financial Markets Authority. The deal illustrates a broader trend among established industrial companies that are shedding non-core assets to enhance competitive focus and operational agility.