Baar-Zug, 8 January 2014
Partners Group, the global private markets investment manager, acted as Mandated Lead Arranger and invested, on behalf of its clients, in the mezzanine debt refinancing of family-owned and London headquartered, European coffee house chain, Caffè Nero.
Caffè Nero, the Italian Coffee Company, has more than 600 stores across five countries (UK, Poland, Cyprus, Turkey and the UAE) and employs over 4'500 staff across 200 cities. Since the company was founded by Dr Gerry Ford in 1997, the company has shown impressive performance recording year-on-year growth in every year since inception. Caffè Nero has benefitted as the out-of-home coffee drinking culture has expanded and coffee houses are increasingly seen as a place to relax, socialise and network. The credit quality is reinforced by its strong brand, robust cash flow generation and track record of achieving sustained growth even during the downturn.
Patrick Ward, Chairman UK and Middle East of Partners Group, says “I am delighted that Partners Group has the opportunity to support Gerry and his team as they continue to successfully grow their business. We are delighted to be the anchor mezzanine investor in this prominent transaction, and our role underlines Partners Group's position as a leading private debt provider.”
Dr. Gerry Ford, Founder, CEO and Chairman of Caffè Nero, comments: “I am pleased that we are able to welcome Partners Group as a key member of the lending group. We look forward to working with their team as we look to realize our ambitions.”
Christopher Bone, Senior Vice President in the Private Debt team of Partners Group, adds “Caffè Nero's brand, its emphasis on quality and positioning in a growing market, underline why this is an attractive mezzanine investment opportunity. We are delighted to invest in this business under its experienced ownership and look forward to working with and supporting the management team.”