Funding of €6m to support the opening of new residences
At the end of 2021, Groupe WS arranged new financing of €6m to pursue its strategy of opening new residences in Paris. This financing was arranged with SOCADIF Capital Investissement (a private equity subsidiary of Crédit Agricole d’Ile-de-France), Financière Arbevel (which is supported by the EGF guarantee instrument set up by the European Investment Fund with the backing of the Member States that contribute to the EGF guarantee) and Bpifrance via its France Investissement Tourisme 2 fund.
The Groupe WS develops and operates ‘Work & Sleep’ residences, modular places adapted for sleeping and working during short journeys. The spread of teleworking has increased demand for this type of offering, with residences in tune with the times, offering greater freedom for travellers on the move. Groupe WS now has 219 unique locations in sought-after areas of Paris at affordable prices. With this financing, Groupe WS is betting on organic growth for its network of residences in inner Paris.
«The presence of Crédit Agricole, Financière Arbevel and Bpifrance demonstrates the confidence of institutional investors in our strategic positioning and the resilience of our business model in 2020. This transaction will enable us to strengthen our network in Paris and continue our plan to open Work & Sleep residences, in line with the expectations of new post-covid travellers. »
— Sébastien MEJEAN, Groupe WS President
« This new step will enable Groupe WS to continue to move forward in Paris. Crédit Agricole’s acquisition of a stake in the company will provide a lasting boost to the quality of Groupe WS’s reputation with private and institutional landlords, especially at a time when the office property market is brimming with opportunities. »
— Raphaël MADAR, Chief Executive Officer of Groupe WS
« Groupe WS offers an innovative approach to a market undergoing profound transformation: the digitalisation and automation of the value chain is the perfect response to the demands of connected customers looking for fluidity and efficiency, at a moderate budget.»
— Matthieu CHEVALLIER, Directeur de participations, SOCADIF Capital Investissement
« Groupe WS came through the Covid period with an average occupancy rate of 60%, demonstrating its strong resilience, as well as the relevance of its original positioning in the Paris market. »
— Ghada KNEISEL, Gérante du fonds de dette privée chez Financière ARBEVEL
« The Groupe WS team has developed an innovative offering in a changing market. We were won over by the management team’s vision, its knowledge of the Paris office market and the strength of its network in commercial real estate, enabling it to implement an ambitious growth plan in its core business.»
— Louis JANNEAU, Directeur de participations chez Bpifrance
The Effective Capital team assisted Groupe WS with the completion and structuring of the transaction.
Operation Stakeholders
- Investor: SOCADIF Capital Investissement, Emmanuel David, Matthieu Chevallier
- Investor: Bpifrance, Serge Mesguich, Louis Janneau
- Investor: Financière ARBEVEL, Ghada Kneisel, Loïc JOUAN
- Company Advisory: ORSAY Avocats, Samira Friggeri, Samanta Madelin, Sandrine Perrier
- Investor Advisory: Degroux Brugère, Jérémie Swiecznik, Maxim Khlopotin
- Investor Advisory: Gide, Hubert Merveilleux du Vignaux, Aude-Laurène Dourdain
- Fundraising/M&A Advisory: Effective Capital, David Boccara
- Financial due diligence: Exelmans, Grégoire Thiébaut, Victoria Baron
About Groupe WS :
Groupe WS operates a network of Work & Sleep residences, providing an innovative mixed use of office and accommodation, in the centre of Paris. The WS residences offer a choice of 219 unique places to rent by the day, located in sought-after areas at affordable prices. WS residences target a mainly European clientele looking for flexible spaces suitable for sleeping and working during short business trips.
About SOCADIF Capital Investissement :
SOCADIF Capital Investissement, a subsidiary of Crédit Agricole d’Ile-de-France, has been active in the private equity market since 1990, mainly in the Paris region. SOCADIF’s mission is to provide long-term support to entrepreneurs in their transition and development projects, while remaining a minority shareholder in the companies it invests in.
As an SCR, SOCADIF offers a long-term partnership with the management team, with the capacity to invest equity capital over the long term and, if necessary, on a successive basis to support development. SOCADIF’s teams work alongside the management team on strategic decisions, without interfering in the running of the company.
In addition, to demonstrate its usefulness in the region, Crédit Agricole d’Ile-de-France has entrusted SOCADIF with a specific investment envelope designed to support companies in the tourism and events sector.
For more information, visit : www.socadif.fr
About Financière ARBEVEL :
Taken over by its current management in 2009, Financière ARBEVEL, an independent and entrepreneurial asset management company, is a key player in the small and mid-cap universe. Its management philosophy is centred on financial and strategic analysis and in-depth knowledge of the companies in which it invests. Financière Arbevel attaches great importance to building a close relationship of trust with the management of the companies it invests in. Initially positioned as a specialist in stock-picking on French stocks, Financière Arbevel now has €2.2 billion in assets under management and has broadened its range of products and services, offering its clients diversified risk/return combinations: listed equities (since the company was founded), flexible management (since 2009), bond management (since 2015) and now alternative investments via Arbevel Life Science Crossover I (launched in 2018) and Arbevel Dette Privée PME (launched in 2020).
For more information, visit : www.arbevel.com
About Bpifrance :
Bpifrance’s equity investments are made by Bpifrance Investissement. Bpifrance finances companies – at every stage of their development – through loans, guarantees and equity. Bpifrance supports them in their innovation and international projects. Bpifrance now also supports their export activities through a wide range of products. Advice, universities, networking and acceleration programmes for start-ups, SMEs and ETIs are also part of the services offered to entrepreneurs.
Thanks to Bpifrance and its 50 regional offices, entrepreneurs have a single, close and effective contact to help them meet their challenges.
More info on : www.Bpifrance.fr – https://presse.bpifrance.fr/
