A long-term investor
Wendel is a hands-on investor and shareholder that assists sector-leading companies in their long-term development. Wendel's business model combines the entrepreneurial passion born of a long family tradition with a culture of performance and accountability.
Stahl
Leather finishing products and high-performance coatings
36 laboratories and production facilities • 1,200 employees in 28 countries • 400 marketing experts
| (in millions of euros) | 2007 | 2008 | Δ |
| Net sales | 311.2 | 296.3 | -4.8% |
| Adjusted operating income (1) | 44.2 | 39.1 | -11.5% |
| as a % of net sales | 14.2 % | 13.2 % | |
| Net income from business sectors | 3 | 0 | |
| Net financial debt | 337 | 317 |
(1) Adjusted operating income before accounting entries for
goodwill allocation, management fees and non-recurring items.
Net income from business sectors: Defined on the “key figures” page
How Wendel is involved:
Bernard Gautier,
Olivier Chambriard,
Dirk-Jan Van Ommeren (membres)
Why we invested
Stahl is the world leader on its markets. It has enjoyed recurrent profitability over the last 20 years through its high-end positioning, renowned know-how, personalized services, global market share of more than 20%, and a highly fragmented client base.
Beyond short-term cycles than can affect its businesses, Stahl offers prospects for sustained growth generated by markets in China and the rest of Asia and by the development of high-performance niche coatings.
The market offers numerous opportunities for acquisitions, which can generate substantial synergies.
How Wendel has helped Stahl to expand
Depuis l’acquisition de Stahl en 2006, les actions entreprises ont principalement porté sur la simplification et le renforcement de l’organisation de l’entreprise. La stratégie développée par le nouveau Directeur général du Groupe, Huub Van Beijeren, a permis d’opérer un recentrage sur les segments d’activité les plus porteurs et de renforcer les équipes de management avec une priorité donnée aux fonctions commerciales. Simultanément, les équipes ont travaillé à la rationalisation de la base de coûts de structure, réduite de près de 20 M€, et à l’optimisation du cash-fiow avec une augmentation du taux de conversion en cash (1) de 70 % à plus de 100 % en 2008. Enfin, la réorganisation des opérations en Chine, portée par un investissement de 17,5 M$ US dans l’usine de Suzhou, a ouvert des perspectives de développement importantes en Asie. Les effectifs commerciaux y ont par ailleurs été doublés.
(1) EBITDA – Investissement – var. BFR/EBITDA.
Adjustment measures stepped up in hard hit markets
Stahl’s performances were very solid and brisk in the first half of 2008 (+10%) and helped it gain market share. In the second half of 2008, and particularly late in the year, sales were hit hard by the downturn on underlying markets, especially the automotive market.
* Equity and shareholder loans
(1): EBITDA – Capex – chg. in WCR/ EBITDA
All in all, net sales came to €296 million in 2008, down 4.8% vs. 2007 contracting organically by 2.8%. Stahl’s adjusted operating margin was 13.2% of its net sales. To reduce its financial indebtedness Stahl bought back €30 million of its debt in 2008.
