Rhône Group
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Rhône Group is a global
private equity In the field of finance, the term private equity (PE) refers to investment funds, usually limited partnerships (LP), which buy and restructure financially weak companies that produce goods and provide services. A private-equity fund is both a t ...
firm, specializing in
mergers and acquisitions Mergers and acquisitions (M&A) are business transactions in which the ownership of companies, other business organizations, or their operating units are transferred to or consolidated with another company or business organization. As an aspect ...
, leveraged buyouts, recapitalizations, and partnerships with particular focus on
Europe Europe is a large peninsula conventionally considered a continent in its own right because of its great physical size and the weight of its history and traditions. Europe is also considered a subcontinent of Eurasia and it is located entirel ...
an and trans-Atlantic investments. Rhône also offers financial advisory services, strategic alliances, joint partnerships, and business valuation services. Rhone Group was listed in 2013 to 2014 by
Preqin Preqin is a privately held London-based investment data company that provides financial data and insight on the alternative assets market, as well as tools to support investment in alternatives. By the company's own definition, its data encompa ...
as the 'Most Consistent Performing Private Equity Fund Manager' based on both its multiple and IRR of all 3 funds in the top quartile ranking. Rhône is headquartered at the International Building at
Rockefeller Center Rockefeller Center is a large complex consisting of 19 commercial buildings covering between 48th Street and 51st Street in Midtown Manhattan, New York City. The 14 original Art Deco buildings, commissioned by the Rockefeller family, span th ...
in
New York City New York, often called New York City or NYC, is the most populous city in the United States. With a 2020 population of 8,804,190 distributed over , New York City is also the most densely populated major city in the Un ...
, with additional offices in
London London is the capital and List of urban areas in the United Kingdom, largest city of England and the United Kingdom, with a population of just under 9 million. It stands on the River Thames in south-east England at the head of a estuary dow ...
and
Paris Paris () is the Capital city, capital and List of communes in France with over 20,000 inhabitants, most populous city of France, with an estimated population of 2,165,423 residents in 2019 in an area of more than 105 km² (41 sq mi), ma ...
. Rhône was founded in 1995 by Robert Agostinelli and Steven Langman. The pair have been managing Rhône since inception. The company tends to invest in
energy In physics, energy (from Ancient Greek: ἐνέργεια, ''enérgeia'', “activity”) is the quantitative property that is transferred to a body or to a physical system, recognizable in the performance of work and in the form of hea ...
, materials,
industrials Manufacturing is the creation or production of goods with the help of equipment, labor, machines, tools, and chemical or biological processing or formulation. It is the essence of secondary sector of the economy. The term may refer to a rang ...
, retailing, consumer staples, healthcare, and financial sectors. The company is a U.S. Securities and Exchange Commission Registered Investment Advisor. Investors include government and private sector pension and retirement funds, charitable foundations, university endowments, insurance companies, family savings and sovereign wealth funds. It focuses primarily on investments in
Europe Europe is a large peninsula conventionally considered a continent in its own right because of its great physical size and the weight of its history and traditions. Europe is also considered a subcontinent of Eurasia and it is located entirel ...
an and trans-Atlantic companies.


London Office

In 2011, Rhône Group moved from their
Knightsbridge Knightsbridge is a residential and retail district in central London, south of Hyde Park. It is identified in the London Plan as one of two international retail centres in London, alongside the West End. Toponymy Knightsbridge is an ancien ...
office to 40
Bruton Street Bruton Street is a street in London's Mayfair district. It runs from Berkeley Square in the south-west to New Bond Street in the north-east, where it continues as Conduit Street. Notable residents have included Field Marshal John Campbell, 2n ...
, Mayfair, signing a ten-year lease for the top three floors covering 8,000 square feet, at £105 per sq ft, the then-highest rent achieved in the West End.


Funds

* Rhône Capital Partners Fund I * Rhône Capital Partners Fund II * Rhône Capital Partners Fund III * Rhône Capital Partners Fund IV * Rhône Capital Partners Fund V


Investments


Maxam

In August 2018, Rhône acquired a 45% stake in MAXAM Corp from
Advent International Advent International is a global private equity firm focused on buyouts of companies in Western and Central Europe, North America, Latin America and Asia. The firm focuses on international buyouts, growth and strategic restructuring in five core ...
. Maxam is among the three largest explosives companies in the world. The history of MAXAM Corp dates back to 1872 when Alfred Nobel founded the Sociedad Española de la Pólvora Dinamita in Bilbao, Spain. The company offers high-tech products and services ranging from terra solutions, outdoors, defense, and
chemicals A chemical substance is a form of matter having constant chemical composition and characteristic properties. Some references add that chemical substance cannot be separated into its constituent elements by physical separation methods, i.e., wit ...
. Blasting solutions, cartridges and gunpowder, and raw materials for the nitro chemical industry are some of its key products. One of their brand's EXPAL specializes in
demilitarization Demilitarisation or demilitarization may mean the reduction of state armed forces; it is the opposite of militarisation in many respects. For instance, the demilitarisation of Northern Ireland entailed the reduction of British security and military ...
by
recycling Recycling is the process of converting waste materials into new materials and objects. The recovery of energy from waste materials is often included in this concept. The recyclability of a material depends on its ability to reacquire the p ...
explosives recovered from different sectors such as
infrastructures Infrastructure is the set of facilities and systems that serve a country, city, or other area, and encompasses the services and facilities necessary for its economy, households and firms to function. Infrastructure is composed of public and priv ...
,
mining industry Mining is the extraction of valuable minerals or other geological materials from the Earth, usually from an ore body, lode, vein, seam, reef, or placer deposit. The exploitation of these deposits for raw material is based on the economic via ...
, and
demolitions Demolition (also known as razing, cartage, and wrecking) is the science and engineering in safely and efficiently tearing down of buildings and other artificial structures. Demolition contrasts with deconstruction, which involves taking ...
. MAXAM generated revenue of over €1.1bn for its fiscal year to 31 March 2018. Rhône invested from its fifth fund which sees Maxam's management group retaining the remaining 55% of the company's shares. MAXAM has in excess of 6,500 employees, more than 50 subsidiaries, 80 industrial units and commercial operations in over 100 countries. The transaction sees
Morgan Stanley Morgan Stanley is an American multinational investment management and financial services company headquartered at 1585 Broadway in Midtown Manhattan, New York City. With offices in more than 41 countries and more than 75,000 employees, the fir ...
act as financial advisor to Advent, and Lazard Frères as financial advisor to
Rhône The Rhône ( , ; wae, Rotten ; frp, Rôno ; oc, Ròse ) is a major river in France and Switzerland, rising in the Alps and flowing west and south through Lake Geneva and southeastern France before discharging into the Mediterranean Sea. At Ar ...
. Legal advisor to Advent was Uría Menéndez, while Pérez-Llorca and
Kirkland & Ellis Kirkland & Ellis LLP is an American multinational law firm headquartered in Chicago, Illinois. Founded in 1909, Kirkland & Ellis is the largest law firm in the world by revenue and the seventh-largest by number of attorneys, and was the first la ...
advised Rhône.


Fogo de Chão

In February 2018, Rhône acquired Brazilian steakhouse chain
Fogo de Chão Fogo de Chão () is a Brazilian all-you-can-eat steakhouse ('' churrascaria)'' with locations throughout the world. The restaurant specializes in barbecued meats and sides. The restaurant was founded by two brothers, Arri and Jair Coser, with ...
for $560 million. Founded in 1979 in Porto Alegre, Rio Grande do Sul, Brazil, it now operates in nearly 50 locations in the
U.S. The United States of America (U.S.A. or USA), commonly known as the United States (U.S. or US) or America, is a country primarily located in North America. It consists of 50 states, a federal district, five major unincorporated territori ...
,
Mexico Mexico (Spanish: México), officially the United Mexican States, is a country in the southern portion of North America. It is bordered to the north by the United States; to the south and west by the Pacific Ocean; to the southeast by Guatema ...
, Saudi Arabia, UAE and
Brazil Brazil ( pt, Brasil; ), officially the Federative Republic of Brazil (Portuguese: ), is the largest country in both South America and Latin America. At and with over 217 million people, Brazil is the world's fifth-largest country by area ...
with plans for over 100 locations worldwide. The price of $15.75 a share was paid in cash, which represents a 25% premium over the restaurant company's closing price on the Nasdaq.


Nestlé Confectionary USA

In January 2018, Rhône Capital entered a binding offer to acquire
Nestlé Nestlé S.A. (; ; ) is a Swiss multinational food and drink processing conglomerate corporation headquartered in Vevey, Vaud, Switzerland. It is the largest publicly held food company in the world, measured by revenue and other metrics, since ...
’s US confectionary business, joining a $2.5 billion race that includes Italy's
Ferrero SpA Ferrero SpA (), more commonly known as Ferrero Group or simply Ferrero, is an Italian multinational company with headquarters in Alba, Italy. manufacturer of branded chocolate and confectionery products, and the second biggest chocolate produc ...
and
The Hershey Company The Hershey Company, commonly known as Hershey's, is an American multinational company and one of the largest chocolate manufacturers in the world. It also manufactures baked products, such as cookies and cakes, and sells beverages like milksh ...
. The sale includes established brands such as
Butterfinger Butterfinger is a candy bar manufactured by the Ferrero SpA, a subsidiary of Ferrero. It consists of a layered crisp peanut butter core covered in a chocolatey coating. Invented by Otto Schnering of the Curtiss Candy Company in 1923, the name ...
, Nerds,
Laffy Taffy Laffy Taffy is an American brand of taffy candies produced by the Ferrara Candy Company, a subsidiary of Ferrero. The candies are small (about ), individually wrapped taffy rectangles available in a variety of colors and artificial fruit f ...
, and Crunch chocolate bars.
Nestlé Nestlé S.A. (; ; ) is a Swiss multinational food and drink processing conglomerate corporation headquartered in Vevey, Vaud, Switzerland. It is the largest publicly held food company in the world, measured by revenue and other metrics, since ...
was advised by Goldman Sachs on the sale process.


Hudson Bay Company

In October 2017, Canada's oldest retailer
Hudson Bay Company The Hudson's Bay Company (HBC; french: Compagnie de la Baie d'Hudson) is a Canadian retail business group. A fur trading business for much of its existence, HBC now owns and operates retail stores in Canada. The company's namesake business div ...
agreed to sell its historic
Lord & Taylor Building The Lord & Taylor Building is an 11-story commercial building in Midtown Manhattan, New York City, that formerly served as Lord & Taylor's flagship department store in the city. It is at 424–434 Fifth Avenue between 38th and 39th Streets. ...
to Rhône Capital and WeWork in a transaction valued at $850 million. The flagship building has been a presence on Fifth Avenue for more than a century, the 10-story limestone structure opened in 1914, and was named a
New York City designated landmark The New York City Landmarks Preservation Commission (LPC) is the New York City agency charged with administering the city's Landmarks Preservation Law. The LPC is responsible for protecting New York City's architecturally, historically, and cu ...
in 2007.


Santillana

In September 2017, Spanish media company Prisa confirmed it was in talks over the sale of its Santillana publishing group with Rhône Capital.
El Confidencial ''El Confidencial'' is a Spanish-language general-information digital newspaper located in Spain, specializing in economic, financial and political news. It was established as an online newspaper in 2001. Its target readership is professional ...
reported that Rhone was in negotiations to submit an offer of around $1.7 billion for the 75 percent stake Prisa holds in Santillana.


VistaJet

In 2017, Rhône invested $150 million cash into
VistaJet VistaJet is a global business aviation company founded in 2004 by Thomas Flohr. The firm flies between any two points, under a "pay for hours flown" fare structure. Its fleet consists of 73 privately-owned, mid-to-large-cabin, ultra-long-range ...
together with secondary acquisitions, Rhône will have a $200 million stake in
VistaJet VistaJet is a global business aviation company founded in 2004 by Thomas Flohr. The firm flies between any two points, under a "pay for hours flown" fare structure. Its fleet consists of 73 privately-owned, mid-to-large-cabin, ultra-long-range ...
. This ground breaking investment transaction serves as another key milestone in VistaJet's growth story and a major vote of confidence in the company's strategy and business model, valuing VistaJet's equity on a post-money basis in excess of $2.5 billion.
VistaJet VistaJet is a global business aviation company founded in 2004 by Thomas Flohr. The firm flies between any two points, under a "pay for hours flown" fare structure. Its fleet consists of 73 privately-owned, mid-to-large-cabin, ultra-long-range ...
was founded by
Thomas Flohr Thomas Flohr (born 17 March 1960) is a Swiss businessman, founder and chairman of VistaJet, a private jet charter company, amateur racing driver and former billionaire. As of March 2018, ''Forbes'' estimated his net worth at US$2.3 billion. In M ...
in 2004 and is now the second largest private aviation company in the world after
NetJets NetJets Inc. is an American company that sells fractional ownership shares in private business jets. Founded as Executive Jet Airways in 1964, it was later renamed Executive Jet Aviation. NetJets became the first private business jet chart ...
. In 2019,
VistaJet VistaJet is a global business aviation company founded in 2004 by Thomas Flohr. The firm flies between any two points, under a "pay for hours flown" fare structure. Its fleet consists of 73 privately-owned, mid-to-large-cabin, ultra-long-range ...
acquired
JetSmarter JetSmarter was a corporation and mobile application for private jet users. The company was headquartered in Fort Lauderdale, Florida, United States. The app connected users to available aircraft and routes in the United States, Europe and Mid ...
which is regarded as the
Uber Uber Technologies, Inc. (Uber), based in San Francisco, provides mobility as a service, ride-hailing (allowing users to book a car and driver to transport them in a way similar to a taxi), food delivery (Uber Eats and Postmates), packa ...
of
private aviation Private aviation is the part of civil aviation that does not include flying for hire, as opposed to commercial aviation. Definition Private aviation and commercial aviation are not rigorously defined. In general, private aviation is regarded a ...
, also acquiring XOJET the year prior in order to consolidate its buy out of competitors and lead consolidation in the private jet industry.


WeWork

In 2016, Rhône Group partnered with
WeWork WeWork Inc. is a provider of coworking spaces, including physical and virtual shared spaces, headquartered in New York City. As of December 31, 2021, the company operated of space, including in the United States and Canada, in 756 locatio ...
to raise several hundred million dollars for a real estate investment fund. The partners have already approached
New York City New York, often called New York City or NYC, is the most populous city in the United States. With a 2020 population of 8,804,190 distributed over , New York City is also the most densely populated major city in the Un ...
landlords about buying properties where the coworking company is a tenant. Fundraising for the vehicle, dubbed WeWork Property Investors, is still ongoing. Buying into its properties would allow the co-working company to benefit from property appreciation it says it creates as a tenant. On March 9, the company filed offering documents for four private equity funds. WeWork Property Investors and WeWork Property Investors Funds A, B and B1 with the
U.S. Securities and Exchange Commission The U.S. Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street Crash of 1929. The primary purpose of the SEC is to enforce the law against market ...
. The filings list several WeWork and Rhone Group executives as fund directors. In March 2017, Rhône together with WeWork launched a $400 million real estate investment fund. In November, that fund paid $850 million for WeWork's new global headquarters at
Lord & Taylor Lord & Taylor was the oldest brick and mortar department store in the United States, in business from 1826 to 2020. The brand was purchased during former owner Le Tote's 2020 liquidation bankruptcy and relaunched by new owner, Saadia Group, as ...
’s flagship on Fifth Avenue in
Manhattan, New York Manhattan (), known regionally as the City, is the most densely populated and geographically smallest of the five boroughs of New York City. The borough is also coextensive with New York County, one of the original counties of the U.S. state ...
.


Zodiac Pool Solutions

In October 2016, Rhône Group entered into an agreement to acquire Zodiac Pool Solutions from
the Carlyle Group The Carlyle Group is a multinational private equity, alternative asset management and financial services corporation based in the United States with $376 billion of assets under management. It specializes in private equity, real assets, and ...
including its global pool business and family of premium brands. Financial terms of the agreement were not disclosed. Carlyle was advised on the transaction by Credit Suisse and Allen & Overy LLP. Rhône was advised on the transaction by
Morgan Stanley Morgan Stanley is an American multinational investment management and financial services company headquartered at 1585 Broadway in Midtown Manhattan, New York City. With offices in more than 41 countries and more than 75,000 employees, the fir ...
and Sullivan & Cromwell LLP.


Garda World Corporation

In February 2016, Rhône Capital agreed to acquire 45% of the outstanding shares of the parent company of Garda World Security Corp., from
Apax Partners Apax Partners LLP is a British private equity firm, headquartered in London, England. The company also operates out of six other offices in New York, Hong Kong, Mumbai, Tel Aviv, Munich and Shanghai. As of December 2017, the firm, including its ...
and certain management stockholders of the business. Garda World Security Corp. a security and cash services provider, was founded in 1995 by Stéphan Crétier and is now the world's largest privately owned security company employing over 85,000 people worldwide. In May 2017 Rhone increased its equity holding to 61% completing the purchase of all of Apax's remaining participation in GardaWorld.


Scandinavian Tobacco Group

In November 2014,
Scandinavian Tobacco Group Scandinavian Tobacco Group is a manufacturer of cigars and traditional pipe tobacco. The city company is headquartered in Copenhagen, Denmark, and is a publicly listed Company on NASDAQ Copenhagen. History The company can trace its origin back ...
, the world's largest manufacturer of cigars and pipe
tobacco Tobacco is the common name of several plants in the genus '' Nicotiana'' of the family Solanaceae, and the general term for any product prepared from the cured leaves of these plants. More than 70 species of tobacco are known, but the ...
began talks with firm Rhône Capital about a potential sale of the company for around $2 billion.
CVC Capital CVC Capital Partners is a Luxembourg-based French private equity and investment advisory firm with approximately US$133 billion of assets under management and approximately €157 billion in secured commitments since inception across American, E ...
and Pamplona Capital were also listed as potential bidders. STG is owned by Skandinavisk Holding and Swedish Match and have hired
JPMorgan Chase JPMorgan Chase & Co. is an American multinational investment bank and financial services holding company headquartered in New York City and incorporated in Delaware. As of 2022, JPMorgan Chase is the largest bank in the United States, the ...
to look at options for the business and explored an
initial public offering An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investme ...
before deciding on a sale. STG has 10,000 employees in 20 countries and EBITDA of SEK1.2 billion ($201 million) on
revenue In accounting, revenue is the total amount of income generated by the sale of goods and services related to the primary operations of the business. Commercial revenue may also be referred to as sales or as turnover. Some companies receive reven ...
of SEK5.9 billion for 2013.


GK Holdings, Inc.

In 2014, Rhône Group acquired Global Knowledge from MidOcean Partners. In October 2021 it was announced that Global Knowledge will be bought by Churchill Capital Corp II and will be merged with Skillsoft.


Elizabeth Arden, Inc.

In 2014, Rhône Group entered into an agreement with Elizabeth Arden, Inc. (RDEN.O) for a tender offer to acquire up to 30% of the company. Elizabeth Arden, Inc. is a global prestige beauty products company with brands sold in over 120 countries. The company's brands include Elizabeth Arden skincare, color and fragrance products; its professional skin care lines, Elizabeth Arden Rx and Elizabeth Arden PRO; the celebrity fragrance brands of Britney Spears, Elizabeth Taylor,
Jennifer Aniston Jennifer Joanna Aniston (born February 11, 1969) is an American actress and film producer. She is the recipient of various accolades, including a Primetime Emmy Award, a Golden Globe Award and two Screen Actors Guild Awards. Since her career ...
,
Justin Bieber Justin Drew Bieber ( ; born March 1, 1994) is a Canadian singer. Bieber is recognized for his genre-melding musicianship and has played an influential role in modern-day popular music. He was discovered by American record executive Scooter ...
, Mariah Carey,
Nicki Minaj Onika Tanya Maraj-Petty (; born December 8, 1982), known professionally as Nicki Minaj ( ), is a Trinidadian-born rapper based in the United States. She is known for her musical versatility, animated Flow (rapping), flow in her rapping, alter e ...
, and
Taylor Swift Taylor Alison Swift (born December 13, 1989) is an American singer-songwriter. Her discography spans multiple genres, and her vivid songwriting—often inspired by her personal life—has received critical praise and wide media coverage. Bor ...
; the designer fragrance brands of
Juicy Couture Juicy Couture is an American casualwear and dress clothing brand based in Arleta, Los Angeles, California. Best known for their iconic velour tracksuits which became a luxury staple in the 2000s, the company was founded by Pamela Skaist-Levy and ...
, Alfred Sung,
BCBGMAXAZRIA Max Azria (January 1, 1949 – May 6, 2019) was a Tunisian-Jewish-born American fashion designer who founded the contemporary women's clothing brand BCBG MAX AZRIA. Azria was also the designer, chairman and CEO of the BCBG Max Azria Group,Musta ...
,
Geoffrey Beene Geoffrey Beene (born Samuel Albert Bozeman Jr.; August 30, 1924 – September 28, 2004) was an American fashion designer. Beene was one of New York's most famous fashion designers, recognized for his artistic and technical skills and for creati ...
,
Halston Roy Halston Frowick (April 23, 1932 – March 26, 1990), known mononymously as Halston, was an American fashion designer who rose to international fame in the 1970s. His minimalist, clean designs, often made of cashmere or ultrasuede, were ...
,
Ed Hardy Don Ed Hardy (born 1945) is an American tattoo artist known for his tattoos, strong influence on the development of modern tattoo styles, and his eponymous apparel and accessories brand. Early life Hardy was born on January 5, 1945, in Des Moi ...
,
John Varvatos John Varvatos (born 1954) is an American menswear designer. Early life The Varvatos family is originally from the village of Poulata on the island of Kefalonia, Greece. Varvatos was born in Detroit and grew up in Allen Park, Michigan. He ...
, Lucky Brand,
Rocawear Rocawear (Stylized Roc-A-Wear) is an American Clothing Brand founded in 1999 by Roc-A-Fella Records Co-Founders Damon Dash and Shawn "Jay-Z" Carter. The brand has had annual sales of $700 million. Rocawear expanded through licensing to sell aff ...
and Wildfox Couture; and the lifestyle fragrance brands Curve, Giorgio Beverly Hills, and PS Fine Cologne. In June 2016, Elizabeth Arden, Inc. (RDEN.O) was acquired by
Revlon Revlon, Inc. is an American multinational company dealing in cosmetics, skin care, fragrance, and personal care. The headquarters of Revlon was established in New York City on March 1, 1932, where it still remains. Revlon was founded by brother ...
.


Ranpak Corp.

In October 2014, Rhône Group acquired Ranpak, for around $1 billion from Odyssey Investment Partners LLC. Harris Williams & Co. advised Ranpak Corp. on the sale. Ranpak is headquartered in Ohio, USA and was established in 1972, it manufactures paper-based packaging for more than 25,000 companies in the electronics, food and beverage, and pharmaceutical industries worldwide. In June 2018,
Rhône The Rhône ( , ; wae, Rotten ; frp, Rôno ; oc, Ròse ) is a major river in France and Switzerland, rising in the Alps and flowing west and south through Lake Geneva and southeastern France before discharging into the Mediterranean Sea. At Ar ...
began discussion with Goldman Sachs regarding the sale of Ranpak Inc., which could fetch up to $1.5 billion and has about $100 million in annual earnings before interest, taxes, depreciation and amortization.


Neovia Logistics

In September 2014, Rhône Group together with Goldman Sachs acquired logistics services provider Neovia Logistics for more than $1 billion. Goldman Sachs' and Rhone Capital's consortium prevailed over a rival bid from
Blackstone Group Blackstone Inc. is an American alternative investment management company based in New York City. Blackstone's private equity business has been one of the largest investors in leveraged buyouts in the last three decades, while its real estate bu ...
. The sale of Neovia comes just two years after private equity firm
Platinum Equity Platinum Equity, LLC is an American private equity investment firm founded by Tom Gores in 1995. The firm focuses on leveraged buyout investments of established companies in the U.S., Europe and Asia. History Platinum Equity was founded in 199 ...
acquired a 65% stake in the company from
Caterpillar Inc. Caterpillar Inc. (stock symbol CAT) is an American ''Fortune'' 500 corporation and the world's largest construction-equipment manufacturer. In 2018, Caterpillar was ranked number 65 on the ''Fortune'' 500 list and number 238 on the Global ''Fo ...
, leaving the industrial conglomerate with a 35% interest.


TWE Global

In August 2014, Rhône Capital together with joint partner
Kohlberg Kravis Roberts KKR & Co. Inc., also known as Kohlberg Kravis Roberts & Co., is an American global investment company that manages multiple alternative asset classes, including private equity, energy, infrastructure, real estate, credit, and, through its strate ...
began talks for a takeover bid of the world's second largest wine producer, Treasury Wine Estates for a total deal value of $3.4 billion. TWE Global has
revenue In accounting, revenue is the total amount of income generated by the sale of goods and services related to the primary operations of the business. Commercial revenue may also be referred to as sales or as turnover. Some companies receive reven ...
of over $2 billion and employs more than 4,000 people worldwide, encompassing 80 label brands including
Penfolds Penfolds is an Australian wine producer that was founded in Adelaide in 1844 by Christopher Rawson Penfold, an English physician who emigrated to Australia, and his wife Mary Penfold. It is one of Australia's oldest wineries, and is currently p ...
,
Wolf Blass Wolf Blass is an Australian winery based in Nuriootpa, South Australia Nuriootpa ( ) is a town in South Australia and the major commercial centre of the Barossa Valley, about an hour's drive north of the state capital, Adelaide. The name of ...
, Beringer, Lindemans, Wynns and Rosemount. Rhone Group's partnership with KKR allowed for an 11% increase in offering from A$4.70 per share offered initially by KKR in April 2014 to A$5.20 cash per share in August 2014.


Coty, Inc.

In June 2013, Rhône along with
Berkshire Partners Berkshire Partners is an American private equity firm based in Boston. It has invested in over 100 middle market companies since 1986 through nine investment funds with aggregate capital commitments of more than $16 billion. Berkshire has devel ...
and the Reimann family launched Coty, Inc. (COTY) into an IPO on the
New York Stock Exchange The New York Stock Exchange (NYSE, nicknamed "The Big Board") is an American stock exchange in the Financial District of Lower Manhattan in New York City. It is by far the world's largest stock exchange by market capitalization of its listed ...
raising over $1 billion valuing the company at around $6.7 billion. In 2012, Coty bid $10.7 billion for Avon Products Inc, ( AVP.N) however due to a delayed response the offer was withdrawn. Coty's top 3 competitors are Estee Lauder Cos Inc. ( EL.N), L'Oreal SA (OREP.PA) and Elizabeth Arden Inc (RDEN.O). Coty's brands in fragrances, color
cosmetics Cosmetics are constituted mixtures of chemical compounds derived from either natural sources, or synthetically created ones. Cosmetics have various purposes. Those designed for personal care and skin care can be used to cleanse or protect ...
including nail, skin and body care products support
net revenue In business and accounting, net income (also total comprehensive income, net earnings, net profit, bottom line, sales profit, or credit sales) is an entity's income minus cost of goods sold, expenses, depreciation and amortization, interest, ...
s of $4.6 billion for the
fiscal year A fiscal year (or financial year, or sometimes budget year) is used in government accounting, which varies between countries, and for budget purposes. It is also used for financial reporting by businesses and other organizations. Laws in many ...
ending June 30, 2012. Coty's top 10
brands A brand is a name, term, design, symbol or any other feature that distinguishes one seller's good or service from those of other sellers. Brands are used in business, marketing, and advertising for recognition and, importantly, to create an ...
are; Adidas, Calvin Klien,
Chloe Chloe (; ), also spelled Chloë, Chlöe, or Chloé, is a feminine name meaning "blooming" or "fertility" in Greek. The name ultimately derives, through Greek, from the Proto-Indo-European root ', which relates to the colors yellow and green. T ...
,
Davidoff Davidoff is a Swiss premium brand of cigars, cigarettes and smoker's accessories. The Davidoff cigarette brand has been owned by Imperial Brands after purchasing it in 2006. The non-cigarette portion of the Davidoff tobacco brand is owned by ...
, Marc Jacobs, OPI, Philosophy,
Playboy ''Playboy'' is an American men's Lifestyle magazine, lifestyle and entertainment magazine, formerly in print and currently online. It was founded in Chicago in 1953, by Hugh Hefner and his associates, and funded in part by a $1,000 loan from H ...
,
Rimmel Rimmel (commonly known as Rimmel London) is a British multinational cosmetics brand, now owned by parent company Coty, Inc. The House of Rimmel was founded by French-born British cosmetics entrepreneur Eugène Rimmel as a perfumery 20 February 1 ...
and Sally Hansen. Coty includes beauty brands ranging from ultra-premium luxury to
entertainment Entertainment is a form of activity that holds the attention and interest of an audience or gives pleasure and delight. It can be an idea or a task, but is more likely to be one of the activities or events that have developed over thousa ...
, which include Balenciaga, Beyonce, Bottega Veneta, Chopard, Guess, Jennifer Lopez, JOOP!,
Karl Lagerfeld Karl Otto Lagerfeld (; 10 September 1933 – 19 February 2019) was a German fashion designer, creative director, artist and photographer. He was known as the creative director of the French fashion house Chanel, a position held from 1983 ...
, Kate Moss,
Lady Gaga Stefani Joanne Angelina Germanotta ( ; born March 28, 1986), known professionally as Lady Gaga, is an American singer, songwriter, and actress. She is known for her image reinventions and musical versatility. Gaga began performing as a teenag ...
, Madonna,
Roberto Cavalli Roberto Cavalli (; born 15 November 1940) is an Italian fashion designer and inventor. He is known for exotic prints and for creating the sand-blasted look for jeans. The high-end Italian fashion house Roberto Cavalli sells luxury clothing, per ...
,
Vera Wang Vera Ellen Wang (; born June 27, 1949) is an American fashion designer. Early life Vera Ellen Wang was born June 27, 1949 in New York City to Chinese parents who emigrated to the United States in the mid-1940s. Her mother, Florence Wu (Wu ...
, Vivienne Westwood and others. Coty repurchased all shares from Rhone Capital and Berkshire partners in June 2014.


Eden Springs

In June 2013, Rhône acquired Mayanot Eden best known for its
Eden Springs Mey Eden ( he, מי עדן, literally "Waters of Eden", also known as "Mayanot Eden" or "Mei Eden")Scottish Palestine Solidarity CampaignEden Springs accessed 4 January 2022 is the brand name of the company Eden Springs Ltd., which is an Israel ...
office water-cooler brand for $93.5 million. Eden is one of
Europe Europe is a large peninsula conventionally considered a continent in its own right because of its great physical size and the weight of its history and traditions. Europe is also considered a subcontinent of Eurasia and it is located entirel ...
's largest suppliers of watercoolers and the UK's market leader, distributing more than 450 million litres of water yearly to 600,000 customers in 15 countries and a player in the coffee and coffee machine business. In June 2016,
Eden Springs Mey Eden ( he, מי עדן, literally "Waters of Eden", also known as "Mayanot Eden" or "Mei Eden")Scottish Palestine Solidarity CampaignEden Springs accessed 4 January 2022 is the brand name of the company Eden Springs Ltd., which is an Israel ...
was acquired by
Cott Primo Water Corporation (formerly Cott Corporation) is an American-Canadian water company offering multi-gallon bottled water, water dispensers, self-service refill water machines, and water filtration appliances. The company is headquartered in ...
Corporation for $525 million.


ASK Chemicals

In April 2014, Rhône Group acquired ASK Chemicals from German Ashland Inc. and Swiss based Clariant. The deal was valued at about $350 million. ASK Chemicals is a leading
foundry A foundry is a factory that produces metal castings. Metals are cast into shapes by melting them into a liquid, pouring the metal into a mold, and removing the mold material after the metal has solidified as it cools. The most common metals pr ...
chemicals manufacturer with nearly 2,000 employees in 25 countries. It encompasses a range of foundry resources such as binders,
coating A coating is a covering that is applied to the surface of an object, usually referred to as the substrate. The purpose of applying the coating may be decorative, functional, or both. Coatings may be applied as liquids, gases or solids e.g. Pow ...
s, feeders, filters and
release agent A release agent (also mold release agent, release coating, or mold release coating) is a chemical used to prevent other materials from bonding to surfaces. It can provide a solution in processes involving mold release, die-cast release, plastic r ...
s, as well as metallurgical products including inoculants, inoculation wires and master alloys for iron casting. In 2013, ASK Chemicals generated annual revenues of €513 million.


CSM Global

In March 2013, Rhône Capital purchased CSM Bakery Product for $1.4 billion. The business is made up of the European Bakery Supplies and North American Bakery Products businesses, as well as the international Bakery Supplies activities. Rhône Capital will also acquire the CSM brand name. In 2012 these businesses had aggregate sales of $3.3 Billion and aggregate EBITA of $140 million. Total staff comprised 8,220 employees at the end of 2012. CSM shares rose nearly 8% following the announcement.
Morgan Stanley Morgan Stanley is an American multinational investment management and financial services company headquartered at 1585 Broadway in Midtown Manhattan, New York City. With offices in more than 41 countries and more than 75,000 employees, the fir ...
and Price Waterhouse Coopers were joint advisers to Rhone.
Rothschild Rothschild () is a name derived from the German ''zum rothen Schild'' (with the old spelling "th"), meaning "with the red sign", in reference to the houses where these family members lived or had lived. At the time, houses were designated by sign ...
and
Rabobank Rabobank (; full name: ''Coöperatieve Rabobank U.A.'') is a Dutch multinational banking and financial services company headquartered in Utrecht, Netherlands. The group comprises 89 local Dutch Rabobanks (2019), a central organisation (Raboban ...
acted for CSM.


Utex Industries

In March 2013, Rhône Capital sold one of its companies, Utex Industries, to
Riverstone Holdings Riverstone Holdings is a multinational private equity firm based in New York City focused on leveraged buyout, growth capital, and credit investments in the energy industry and electrical power industry sectors. The firm focuses on oil and gas ...
for approximately $800 million. KKR, First Reserve, and
Ares Management Ares Management Corporation is an American global alternative investment manager operating in the credit, private equity and real estate markets. The company was founded in 1997 and is headquartered in Los Angeles, California, with additional of ...
were some of the companies considering bids. Rhone had previously acquired UTEX Industries in 2010 from the Audax Group, where they were advised by
Lazard Lazard Ltd (formerly known as Lazard Frères & Co.) is a financial advisory and asset management firm that engages in investment banking, asset management and other financial services, primarily with institutional clients. It is the world's la ...
.


Orion Engineered Carbons

In April 2011, Rhône Capital purchased the Carbon Black unit from
Evonik Industries Evonik Industries AG is a stock-listed German specialty chemicals company headquartered in Essen, North Rhine-Westphalia, Germany. It is the second largest chemicals company in Germany, and one of the largest specialty chemicals companies in the ...
AG for in-excess of $1.3 billion. At the time,
Evonik Evonik Industries AG is a stock-listed German specialty chemicals company headquartered in Essen, North Rhine-Westphalia, Germany. It is the second largest chemicals company in Germany, and one of the largest specialty chemicals companies in the ...
described Carbon Black as the third largest in the
world In its most general sense, the term "world" refers to the totality of entities, to the whole of reality or to everything that is. The nature of the world has been conceptualized differently in different fields. Some conceptions see the worl ...
, including 16 production facilities in 11 countries with over 1,650 employees including 500 in
Germany Germany,, officially the Federal Republic of Germany, is a country in Central Europe. It is the second most populous country in Europe after Russia, and the most populous member state of the European Union. Germany is situated betwe ...
.
Evonik Evonik Industries AG is a stock-listed German specialty chemicals company headquartered in Essen, North Rhine-Westphalia, Germany. It is the second largest chemicals company in Germany, and one of the largest specialty chemicals companies in the ...
was advised by
Barclays Capital Barclays () is a British multinational universal bank, headquartered in London, England. Barclays operates as two divisions, Barclays UK and Barclays International, supported by a service company, Barclays Execution Services. Barclays traces ...
and Rhône was advised by
Morgan Stanley Morgan Stanley is an American multinational investment management and financial services company headquartered at 1585 Broadway in Midtown Manhattan, New York City. With offices in more than 41 countries and more than 75,000 employees, the fir ...
. In July 2014, Rhone Capital filled for an IPO valuing the company at $1.36 billion.http://www.plasteurope.com/news/ORION_ENGINEERED_CARBONS_t228922


Euromar LLC

In 2010, Rhone Capital made their first direct investment in the shipping industry. Euromar LLC, formed on March 25, 2010, is a joint venture of the Greek ship owner and operator Euroseas with Rhone Capital and Eton Park Capital Management, two recognized private investment firms. The partnership formed Euromar LLC, a Marshall Islands limited liability company. Pursuant to the terms of the
joint venture A joint venture (JV) is a business entity created by two or more parties, generally characterized by shared ownership, shared returns and economic risk, risks, and shared governance. Companies typically pursue joint ventures for one of four rea ...
, Rhone and Eton Park would each invest up to $75 million, equating to having a 42.86% interest each in the joint venture, whereas Euroseas would invest up to $25 million for a 14.28% interest in the joint venture, equating to a total investment of $175 million. Euroseas operates small and medium-sized container ships as well as dry bulk ships.


Liverpool F.C.

In March 2010, English Premier League football club
Liverpool F.C. Liverpool Football Club is a professional football club based in Liverpool, England. The club competes in the Premier League, the top tier of English football. Founded in 1892, the club joined the Football League the following year and has p ...
revealed that Rhône were in exclusive negotiations to potentially buy the football club. Rhône made a bid of £118.5 million for a controlling 40 percent stake in the
Anfield Anfield is a football stadium in Anfield, Liverpool, Merseyside, England, which has a seating capacity of 53,394, making it the seventh largest football stadium in England. It has been the home of Liverpool F.C. since their formation in 189 ...
club with an additional £25 million infusion of funds for transfers. Liverpool F.C's managing director
Christian Purslow Christian Purslow (born 14 December 1963) is a British businessman who is the chief executive officer of the Premier League club Aston Villa Football Club. He was the co-founder of private equity firm MidOcean Partners and was the former managing ...
and manager Rafael Benitez both gave
Tom Hicks Thomas Ollis Hicks Sr. (born February 7, 1946), is an American private equity investor and sports team owner living in Dallas, Texas. ''Forbes'' magazine estimated Hicks' wealth at $1 billion in 2009, but it dropped to $700 million in 2010 ...
and George N. Gillett, Jr. their recommendations to go ahead with the deal however Hicks and Gillett failed to meet the April 6th 2010 deadline set by Rhône. As a result, Liverpool F.C's £237 million debt to the Royal Bank of Scotland is still outstanding and lack of fresh investment has meant plans for work to begin on a new £350 million stadium have stalled. In August 2010, Rhône re-emerged as a rival bidder in the takeover of Liverpool. Among other involved parties were Chinese businessman Kenny Huang, Yahya Kirdi's Syrian consortium, the Kuwaiti Al Kharafi family and Subrata Roy's Indian Sahara conglomerate. Liverpool's chairman,
Martin Broughton Sir Martin Faulkner Broughton (born 15 April 1947) is a British businessman and deputy chairman of International Airlines Group. Formed in January 2011, IAG is the parent company of British Airways, Iberia and Vueling. It is a Spanish registere ...
, appointed by
Barclays Capital Barclays () is a British multinational universal bank, headquartered in London, England. Barclays operates as two divisions, Barclays UK and Barclays International, supported by a service company, Barclays Execution Services. Barclays traces ...
, had hoped to identify a preferred bidder before the end of the transfer window, September 1, 2010. As a result of not having achieved this investment, George N. Gillett, Jr. and
Tom Hicks Thomas Ollis Hicks Sr. (born February 7, 1946), is an American private equity investor and sports team owner living in Dallas, Texas. ''Forbes'' magazine estimated Hicks' wealth at $1 billion in 2009, but it dropped to $700 million in 2010 ...
were obliged to pay a £20 million penalty to the Royal Bank of Scotland.


Quiksilver Inc.

In 2009, Rhône loaned Quiksilver $150 million over five years to help the company refinance a U.S. line of credit and consolidate its European debt. The deal included $25.6 million in warrants which allowed Rhône to buy 30% of Quiksilver's shares making Rhône own over half the company. Rhône also assigned two new directors for Quiksilver's board. The deal was described by the
Orange County Business Journal The ''Orange County Business Journal'' is a weekly print and online newspaper covering business in Orange County, California. The paper is the second largest business journal in California after the '' Los Angeles Business Journal''.Rossignol. As a result, Quiksilver announced it no longer planned to sell its
DC Shoes DC Shoes is an American company that specializes in footwear for action sports, including skateboarding and snowboarding. The company also manufactures apparel, bags, accessories, hats, tshirts, and posters. History The company was founded in ...
unit or any other brands it owned. Surfer Kelly Slater also signed a five-year extension of his endorsement deal with Quiksilver, and accepted a significant portion of his compensation in the form of the company's stock. In August 2010, Quiksilver completed an exchange of 31.1 million shares worth about $140 million for the debt, held by Rhone. At the time,
Moody's Moody's Investors Service, often referred to as Moody's, is the bond credit rating business of Moody's Corporation, representing the company's traditional line of business and its historical name. Moody's Investors Service provides internationa ...
stated that it could raise the debt rating on Quiksilver if the deal went through. Rhone has since exited their position making a return in excess of 22% on their investment.


Almatis

In 2007, Rhône sold Almatis, a producer of specialty alumina, to
Dubai International Capital Dubai International Capital (DIC) is the international investment arm of Dubai Holding, a global conglomerate and sovereign wealth fund of the government of Dubai and its ruling family. DIC invests private funds on behalf of Dubai Holding and ...
(DIC), the international investment arm of Dubai Holding, for $1.2 billion. DIC retained the existing management team and further supported the global growth strategy pursued by Almatis.


LWB Refractories

In 2007, Rhône bought LWB Refractories, described by the magazine ''
Industrial Minerals Industrial resources (minerals) are geological materials which are mined for their commercial value, which are not fuel (fuel minerals or mineral fuels) and are not sources of metals (metallic minerals) but are used in the industries based on th ...
'' as "the worlds leading refractory dolomite producer", from Lhoist Group S.A. for an undisclosed amount. In 2008, Rhône then sold LWB Refractories for $938 million. to Brazilian manufacturer Magnesita Refratarios S.A. The deal created what is now one of the world largest refractory manufacturers. Clifford Chance advised
Rhône The Rhône ( , ; wae, Rotten ; frp, Rôno ; oc, Ròse ) is a major river in France and Switzerland, rising in the Alps and flowing west and south through Lake Geneva and southeastern France before discharging into the Mediterranean Sea. At Ar ...
in connection with the combination of RHI AG and Magnesita to create a leading refractory company named RHI Magnesita, established in the
Netherlands ) , anthem = ( en, "William of Nassau") , image_map = , map_caption = , subdivision_type = Sovereign state , subdivision_name = Kingdom of the Netherlands , established_title = Before independence , established_date = Spanish Netherl ...
and listed on the
London Stock Exchange London Stock Exchange (LSE) is a stock exchange in the City of London, England, United Kingdom. , the total market value of all companies trading on LSE was £3.9 trillion. Its current premises are situated in Paternoster Square close to St P ...
, Rhone would remain the controlling shareholder.


InfOTE

In 2007, Rhône won the auction for the Greek Yellow Pages directories business InfOTE. Rhône acquired the business in partnership with buyout group Zarkona Trading for $450 million giving Rhône an 85% holding of the company and Zarkona with 15%. Rhône outbid rival US media-focused buyout group
Veronis Suhler Stevenson Veronis Suhler Stevenson, known by its initials, VSS, is a private investment firm that invests in the information, business services, healthcare IT, education, media and marketing industries in North America and Europe. Since 1987, VSS has mana ...
, UK-based private equity house Bridgepoint, and
DLJ Merchant Banking aPriori Capital Partners is a private equity investment firm focused on leveraged buyout transactions. The firm was founded as an affiliate of Credit Suisse and traces its roots to Donaldson, Lufkin & Jenrette, the investment bank acquired by Cr ...
, the buyout arm of Credit Suisse, as well as Greek media group Antenna.


Fraikin

In 2007, Rhône together with Eurazeo sold truck rental company Fraikin to CVC Capital Partners for €1.35 billion. Eurazeo owned 55%, and Rhône owned 20%. The remaining percentage is owned by other minority shareholders and management.


Arizona Chemical

In 2006, Rhône bought Arizona Chemical for $485 million. The deal officially closed in the first quarter of 2007. Arizona Chemical is the world's largest producer of oleochemicals and specialty resins based on crude tall oil, a by-product of wood pulping. Arizona Chemical manufactures pine tree-based chemicals, such as
fatty acids In chemistry, particularly in biochemistry, a fatty acid is a carboxylic acid with an aliphatic chain, which is either saturated and unsaturated compounds#Organic chemistry, saturated or unsaturated. Most naturally occurring fatty acids have an B ...
, rosin esters, and
terpenes Terpenes () are a class of natural products consisting of compounds with the formula (C5H8)n for n > 1. Comprising more than 30,000 compounds, these unsaturated hydrocarbons are produced predominantly by plants, particularly conifers. Terpenes ar ...
. These chemicals are used to manufacture products including adhesives, household cleaners, hydraulic fluids,
inks Ink is a gel, sol, or solution that contains at least one colorant, such as a dye or pigment, and is used to color a surface to produce an image, text, or design. Ink is used for drawing or writing with a pen, brush, reed pen, or quill. Thicke ...
,
paints Paint is any pigmented liquid, liquefiable, or solid mastic composition that, after application to a substrate in a thin layer, converts to a solid film. It is most commonly used to protect, color, or provide texture. Paint can be made in many ...
, personal care products, and plastics. Arizona Chemical was formed in 1930 by paper products maker
International Paper The International Paper Company is an American pulp and paper company, the largest such company in the world. It has approximately 56,000 employees, and is headquartered in Memphis, Tennessee. History The company was incorporated January 31 ...
and American Cyanamid and is now owned by Rhône. Arizona Chemical filed for an IPO in 2010. Arizona Chemical has been a leader in pine chemistry for more than 75 years.


UniEuro

In 2001, the UK's largest electronics retailer, Dixons bought
Italy Italy ( it, Italia ), officially the Italian Republic, ) or the Republic of Italy, is a country in Southern Europe. It is located in the middle of the Mediterranean Sea, and its territory largely coincides with the homonymous geographical ...
's most profitable chain of domestic appliance stores, UniEuro, from
Rhône The Rhône ( , ; wae, Rotten ; frp, Rôno ; oc, Ròse ) is a major river in France and Switzerland, rising in the Alps and flowing west and south through Lake Geneva and southeastern France before discharging into the Mediterranean Sea. At Ar ...
and
JP Morgan JPMorgan Chase & Co. is an American Multinational corporation, multinational Investment banking, investment bank and financial services holding company headquartered in City of New York, New York City and Delaware General Corporation Law, inco ...
for €368 million to take controlling interest of nearly 96% of the company with an option to buy the remaining 4% for €30 million. UniEuro employs over 3,000 people and as of 2006 had a turnover of €1 billion.


Lummus Technology

In June 2020 in partnership with Haldia Petrochemical Rhone Capital bought Lummus Technology from McDermott Inc. McDermott was in bankruptcy and in need of capital to pay off debt but retained an option for a minority stake. After their plan of reorganization was accepted McDermott exercised the option in March 2021.


Other investments

* Coty, Inc. * Dufour Yachts ISB *
Early Learning Centre The Early Learning Centre (ELC) is a British retailer that sells toys aimed at younger children. It is part of The Entertainer (through its parent company TEAL Group Holdings). It was a subsidiary of Mothercare until 2019. History The origin ...
*
Go-Ahead Group The Go-Ahead Group plc is a passenger transport company based in Newcastle upon Tyne, England, with operations in the United Kingdom, Ireland, Singapore, Norway and Germany. Formerly listed on the London Stock Exchange, in 2022 it was purchased ...
* Rexair LLC *
WTVX WTVX (channel 34) is a television station licensed to Fort Pierce, Florida, United States, serving the West Palm Beach area as an affiliate of The CW. It is owned by Sinclair Broadcast Group alongside CBS affiliate WPEC (channel 12) and two ...
* Wahoo Fitness


Disclosure

Rhône is authorised and regulated by the Financial Conduct Authority (FCA) and the U.S
Securities Exchange Commission The U.S. Securities and Exchange Commission (SEC) is an independent agency of the United States federal government, created in the aftermath of the Wall Street Crash of 1929. The primary purpose of the SEC is to enforce the law against market ...
(SEC). Rhône is a 'Selected Client' and 'Sponsor' to Sullivan & Cromwell LLP.


References

{{DEFAULTSORT:Rhone Group Private equity firms of the United States Companies based in New York City Financial services companies established in 1995