PRESENTATION Conference ‘Doing Business in Russia’
Constant Pompen : Investment Officer
June 6, 2012
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Mission Statement “To provide capital and
know how for international investments of Belgian private sector companies.”
STRUCTURE OF PRESENTATION • • • • • • •
ABOUT US OUR PRODUCTS OUR BUSINESS PRINCIPLES OUR WORKING METHOD PROJECT OVERVIEW WHAT OUR CUSTOMERS SAY ABOUT US CUSTOMER REFERENCES
ABOUT US BMI‐SBI is a semi‐public financial institution on federal level active in the medium to long‐term co‐financing of foreign investments by Belgian companies
Created in 1971 : over 300 projects in more than 50 countries Past & Current Clients: IBA, Resilux, Versele Laga, DesleeClama, Septentrio, Vanreusel Snacks, Sipef, Sonaca, SIAT, LVD, Machiels, Schreder, Deroose Plants, Magotteaux, Eurogentec, Stokota, Boortmalt, Pauwels Trafo, Etex – groep, ICOS, Lano Carpets, Wever & Ducré, Eden Chocolates...
ABOUT US / CAPITAL AND SHAREHOLDERS’ STRUCTURE Equity Capital = € 35,5 million + € 8 million endownments Main shareholders / partners:
National Bank of Belgium 6% Others 6% Suez‐Tractebel 5% ING Belgium 7% BNP Paribas Fortis 19%
FPIM/SFPI 57%
ABOUT US: EXTERNAL FINANCING – Endowments from the Belgian State for projects in Asia (€ 5,2 MM) and Central & Eastern Europe (€ 2,9 MM) – Collaboration with the regional authorities in Belgium, i.e. for investment projects with Flemish companies SBI‐BMI works with Fonds Vlaanderen Internationaal (=linked to PMV), for Walloon companies we work with AWEX/SOFINEX – Collaboration with European EDFI colleagues, mainly DEG and BIO, allowing co‐financing up to € 30‐60 MM for projects in developing/emerging markets
OUR PRODUCTS Tailor‐made financial products at the level of the foreign entity, normally without parent guarantee Amounts between € 400.000 and € 2.500.000 and higher via external financing At market conditions with matching (cash) contribution by the Belgian Partner •Equity Minority stakes. Target IRR > 15%. Exit after 5‐10 years at pre‐defined exit terms (put & call options/trade sale/IPO) •Quasi‐equity Subordinated, participative and convertible loans normally in € combining fixed interest rates with variable interest rates based on the success of the project. Terms of 5‐10 years with grace periods of 2‐3 years •Medium‐ and long‐term loans Complementary to equity or quasi‐equity; 35% equity Portfolio 45% quasi‐equity 20% senior loans
BUSINESS PRINCIPLES Partner profile • SME’s, Medium Sized Enterprises (i.a. Septentrio, Deroose Plants, Eden Chocolates…) Stock quoted companies (i.a. Resilux S.A., IBA S.A…) • Relevant track record • Start / expand the internationalisation of their activities via a foreign investment
BUSINESS PRINCIPLES Project profile • “Greenfields”, expansions of existing projects, acquisition of existing companies • Wholly owned subsidiaries, joint ventures (majority equity holding by the Belgian partner / profit centre) • Type of industry: reflection of prominent (industrial / services) sectors of the Belgian economy
BUSINESS PRINCIPLES Spread per sector
Other 29% (Infrastructure, Textile, High‐Tech, Finance)
Chemical, Pharma & Packaging 22%
Agro‐Food 32%
Metal sector & related industries 17%
BUSINESS PRINCIPLES Country policy • World‐wide / more remote & difficult regions • Economic interest both to Belgium & host country • Delocalisation issue Geographical Coverage by Region:
BUSINESS PRINCIPLES Active follow up with due respect to the “corporate governance” principles • Presence at the Board of Directors of the investee company • Regular contacts with the Belgian Partner • Assistance & mediation
BUSINESS PRINCIPLES Corporate social responsibility – “sustainable development” • People: socially acceptable projects • Planet: environmentally acceptable projects • Profit: long term economic growth / adequate return on equity
WORKING METHOD 1) 2)
Preliminary screening by BMI/SBI to determine whether the project falls within the criteria. Extensive analysis including: •
historical, financial and legal standing
•
due diligence of the Belgian company
•
information on its competitive advantages
•
(market sector, market share, growth rate,…)
•
business plan/forecasts for 3‐5 years;
•
management information;
•
funding requirement and usage & financial structure;
•
the proposed financing deal;
WORKING METHOD 3)
4)
The legal documentation — upon fulfillment of all conditions precedent the funds will be disbursed to the project. Follow‐Up
⇒ From first contact to final approval: 2‐3 months
PROJECT OVERVIEW
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WHAT OUR CLIENTS SAY ABOUT US "SBI is the image that we would like Belgium to have in the world: stability, professionalism and pragmatism!" (Pierre Mottet, CEO IBA) http://www.youtube.com/watch?v=rrF2Ryj3‐sg&feature=relmfu
"BMI is a financial partner who thinks along with us" (Helena Vandenbeeck, Managing Director SIAT) http://www.youtube.com/watch?v=zQ_eSRchgXU&feature=relmfu
"BMI is an entrepreneurial financial partner" (Dirk De Cuyper, CEO Resilux) http://www.youtube.com/watch?v=pSGwey2a5LI&feature=relmfu
To see and hear the above statements, please visit our company website: http://www.bmi‐sbi.be/en/index.html
..and/or click on the you tube movies: http://www.youtube.com/watch?v=m5JJCvaFy_I (long version) http://www.youtube.com/watch?v=Q4TI2UNmY90 (short version)
CUSTOMER REFERENCES • Investment partners of BMI‐SBI in Asia include: IBA (cancer diagnosis) – Stokota (special industrial vehicles) – SIPEF (agro industry) – Sterigenics (medical sterilization solutions) – Magotteaux (grinding process and wear mechanisms) ‐ Promodefi (Promotional items)… • Investment partners of BMI‐SBI in the Americas include: Manuchar (logistics service) – DesleeClama (textile industry) – Deroose Plants (tropical plants) – Resilux (pet preforms and bottles) – Septentrio (satellite navigation) ‐ SONACA (aeronautics), … • Investment partners of BMI‐SBI in Central and Eastern Europe include: LVD (machine tools) – Resilux (pet preforms and bottles) – Schréder (lighting equipment) – Boortmalt (maltery) – Flema Snacks (Food industry), … • Investment partner of BMI‐SBI in Africa: SIAT (Rubber and palm oil plantation)
Sonaca (Canada)
Stokota (China)
Schréder (Ukraine)
Article in Trends Vemedia naar China en Rusland dinsdag 25 oktober 2011 om 10u39
Vemedia, de producent en verkoper van geneesmiddelen zonder voorschrift (OTC-producten), wordt actief in Rusland en China. Het snel groeiende bedrijf van CEO Yvan Vindevogel was tot nog toe alleen actief in West-Europa en Zuid-Afrika.
In Rusland wordt nog voor het jaareinde een kantoor geopend in Moskou. Via dat filiaal vinden de producten hun weg naar apotheken in en rond Moskou en Sint-Petersburg, dat kan op basis van een akkoord met een lokaal distributiebedrijf. De doorbraak in Rusland wordt ook mogelijk gemaakt met de steun van de Belgische Maatschappij voor Buitenlandse Investeringen (BMI) dat de investering voor 30 procent onderschrijft. Vemedia wordt de komende maanden ook actief in Hongkong door een joint venture. De Chinese partner Larry Lam tekent daarin voor 49% en de tandem Vemedia-BMI voor de meerderheid (51 procent). Van die 51 procent tekent Vemedia voor 70 procent en BMI voor 30 procent. Vindevogel was tot 1994 ook de hoofdaandeelhouder van Omega Pharma. In 2002 wikte hij Vemedia los van Solvay en tekende sindsdien voor een groeiscenario gesteund op overnames. Ook in Oekraïne en Polen wil Vemedia in de toekomst nog commerciële doorbraken forceren. (KC)
SUMMARY
• Tailor made approach • Patience capital • Smart Money
Tervurenlaan 168 b9 1150 Brussels tel: 32 2 776 01 00 fax: 32 2 770 66 38 info@bmi‐sbi.be www.bmi‐sbi.be
