The fruit and vegetable distributor Omer-Decugis is preparing its listing on the Growth segment of Euronext Paris. The aim is to double the company's turnover by 2025.
The history of the Omer-Decugis & Cie group, founded in 1850 by Omer Decugis, has been handed down from father to son for 6 generations. With a single business: the distribution of fruit and vegetables. And a single shareholder: Vincent Omer-Decugis, who has worked for the company since 1999, has been CEO for 10 years and owns 100 % of the shares.
Today, for the first time in its existence, Omer-Decugis & Cie is preparing to invite outside shareholders to its capital to finance its growth.
Established in Rungis in the Paris region (at 1, place Paul-Omer Decugis), the company is preparing its listing on the Growth compartment of Euronext, which is suitable for SMEs.
Allegra Finance and Gilbert Dupont
The registration document has just been approved by the Autorité des Marchés Financiers (AMF). To complete the transaction, the issuer will be accompanied by Allegra Finance as listing sponsor and Gilbert Dupont as ISP (Investment Service Provider). The law firm Fieldfisher will handle the legal aspects.
"This IPO project is not opportunistic but the culmination of a long process and reflection," Vincent Omer-Decugis told Finascope.
"Our group has grown very fast in recent years. Sales have tripled in 10 years and doubled in 5 years to reach €120 million in 2020 (+6.6% compared to 2019). We have developed our main product lines and conquered new markets to achieve this. To continue this growth, we will seek new financial capacity".
The choice of the Stock Exchange
"Our ambitious development plan is part of a long-term strategy to master the entire value chain. Our objectives of doubling our turnover by 2025 to 230 million euros are credible because we have already done so in the past. We are therefore asking investors to join our family business to support us over the long term for a project that we have already achieved".
The company looked at the various financing options available before turning to the market:
"We were very much in demand from private equity funds and strategic investors. But a stock market listing best suited our expectations, our desire to preserve our family identity and to be able to involve some of our employees in the adventure. This will be done through the allocation of free shares in the first instance. Then we will equip ourselves with the tools underlying this type of operation to build loyalty and motivate staff. We will also look to the stock market for elements of notoriety and credibility".
Family Share Program
Euronext had included the company in the Family Share program dedicated to family businesses: "We have been involved in this program since 2018. This has given us time to refine our project and explore other options that may be available to us"
At Rungis, Omer-Decugis is one of the major and historic players in fruit and vegetables, especially exotic ones. The Group offers more than 1,000 products, the main ones of which are marketed under its own brands (Dibra, Selvatica, Terrasol, Le Marché, etc.) or under private labels.
In 2020, the Group delivered more than 102,000 tons of fresh fruit and vegetables, of which 76.5% was in France and 23.5% in the rest of Europe.
In addition to increasing its sales volumes, Omer-Decugis has set itself the objective of achieving a gross Ebitda margin of 5 %, compared with 1.9 % as at 30 September 2020.
"Committed to sustainable agriculture, the Group has obtained an Ethifinance ESG rating (extra-financial analysis agency) of 81/100", the CEO also underlines.