PAI Partners is a European private equity firm based in Paris, France. It is one of the oldest firms in the sector with its origins dating back to Paribas Affaires Industrielles, the historical principal investment activity of Paribas, which started operations in 1872. The firm is characterised by its industrial approach to ownership combined with its sector-based organisation. PAI provides portfolio companies with the financial and strategic support required to pursue their development and enhance strategic value creation. PAI manages €13.5 billion of dedicated buyout funds. Since 1994, PAI has completed 65 LBO transactions in 11 European countries, representing over €48 billion in transaction value. PAI has 62 agents from 10 countries and teams in Paris, London, Luxembourg, Madrid, Milan, Munich, Stockholm and New York City.
History
PAI was formerly known as Paribas Affaires Industrielles, the historical principal investment activity of Paribas. PAI LBO Fund, established in 1998, was the first PAI investment vehicle managing third party capital. Prior to 1998, PAI invested exclusively on the balance sheet of BNP Paribas. Paribas merged with Banque Nationale de Paris in 2000. In 1993, Amaury de Sèze joined Paribas Affaires Industrielles as chairman and chief executive officer. Under his leadership, PAI developed a strategy in private equity that capitalized on the team's familiarity with industrial sectors. Paribas Affaires Industrielles led the €610 million buyout of Danone’s pasta and condiment unit in 1997, at that time the largest leveraged buyout ever completed in France. The following year, the firm finalized fundraising for its first third party investment fund, raising €650 million of investor commitments. PAI completed a full spinout from BNP in 2000 and the following year raised a new €1.8 billion private equity fund. In September 2009, Lionel Zinsou became CEO and Chairman of the firm. In 2015 Michel Paris became CEO after Lionel Zinsou stepped down to become prime minister in Benin. In March 2015, PAI raised its fifth LBO fund, PAI Europe VI, reaching €3.3 billion, above the initial target of €3 billion. In March 2018, PAI closed their PAI Europe VII fund.
Investment funds
Funds
Prior to 1998, PAI made investments via the Paribas Portfolio. The Paribas Portfolio was funded directly from Paribas’ balance sheet, largely unleveraged and comprising 51 investments, all of which have now been realised. Reflecting the broader investment remit of PAI at the time, it included control and non-control investments. Since 1998, PAI has raised five private equity funds, as detailed below:
Fund name
Vintage
Total commitment
Focus
Status
PAI LBO Fund
1998
€650 million
Buyout
Liquidated
PAI Europe III
2001
€1.8 billion
Buyout
Liquidated
PAI Europe IV
2005
€2.7 billion
Buyout
Exit phase
PAI Europe V
2008
€2.7 billion
Buyout
Exit phase
PAI Europe VI
2015
€3.3 billion
Buyout
Investment phase
PAI Europe VII
2018
€5.1 billion
Buyout
Investment phase
Detailed investments
Historically, PAI managed Paribas's stakes in large food and consumer goods companies across Europe: Royal Canin, Diana Ingredients, Evialis, Saupiquet, LDC, Navidul, SOS Arana and helped them consolidate their respective sector. PAI has completed a large number of leveraged buyouts of market leading European companies in recent years including several of the most significant in Europe. The most recent transactions in consumer goods and services, healthcare as well as general industrial companies are highlighted below:
PAI VI investments
PAI V investments
PAI IV investments
Previous investments
Amora Maille: Sauces and condiments; acquired from Danone in 1997 sold to Unilever in 1999
Antargaz: Propane and butane provision; sold to UGI Corporation in 2004
Carglass: vehicle glass repair and replacement group
Elis: Textile rental, hygiene services
Gerflor: PVC flooring
:fr:Groupe Lapeyre|Groupe Lapeyre: Distribution of construction material
Ipsen: Pharmaceutical laboratory
:fr:VIA-GTI|VIA-GTI : Transport solutions; acquired 1995 and sold in 1999 to SNCF
Panzani-:fr:Lustucru |Lustucru: Pasta and pasta sauces; acquired in 1997 from Danone, sold to Puleva en 2005
:fr:Saint-Gobain Distribution Bâtiment France|Point P: Construction material distributor;