Exclusive Networks IPOs on Euronext Paris

Distributor valued at €1.8bn in stock market debut

Exclusive Networks successfully IPOed on Euronext Paris this morning, valuing the distributor at €1.8bn.

The Paris-based firm filed the paperwork for the IPO at the beginning of the week, with CEO Jesper Trolle telling CRN that the listing would help to accelerate the company's growth strategy faster.

Exclusive Networks floated on the Euronext Paris exchange this morning at 9am CEST under the ticker symbol EXN with a price of €20 per share, equalling a market cap of €1.8bn.

The distributor has raised approximately €366m through the IPO, which could increase to €421m if an over-allotment option is fully exercised.

Some 13 million new shares were issued in the company, totalling €260m in gross proceeds.

5,295,307 shares, worth around €106m, were sold by its investor Permira, a legal entity controlled by Exclusive Network's founder Olivier Breittmayer as well as some managers, employees and former employees of the business.

An additional 2,744,296 shares, worth around €55m, could be sold if the over-allotment is exercised in full.

Following the IPO, Permira holds 55.2 per cent of the capital and voting rights in the Exclusive Networks business, while Olivier Breittmayer holds 12.6 per cent of shares. Around 23 per cent of shares are assigned to public float, while 9.2 per cent are assigned to "Other" shareholders including management.

Exclusive said the IPO was met by "strong demand" from "high quality" investors in France and abroad.

In a statement, Jesper Trolle said that the IPO is a "natural step" for Exclusive Networks.

"Cybersecurity has never been more relevant - to business leaders, state heads and consumers. Exclusive Networks has a mission to drive the transition to a totally trusted digital future. Our IPO is a natural step in our evolution and will accelerate our simple, proven strategy: to extend our international reach, expand our services offering and add value to our existing customer and vendor relationships. It will also enable us to continue acquiring companies that complement our culture, capabilities and reach," he said.

"We will continue investing in our talented cybersecurity specialist teams, who are the key to our success. I would like to personally thank not just our people, but also the vendors and channel partners we work with every day. None of this would be possible without their commitment to innovation, which has driven Exclusive Networks' growth from a small private company two decades ago to the global cybersecurity specialist we are today - and a 36% gross sales CAGR since 2013. We plan to continue to capture the long-term growth drivers in the cyber market, and our IPO is an important step for us to achieve that goal."

Exclusive Networks claims it achieved revenues of €2.9bn in 2020, up from €2bn in 2018, and reached an adjusted EBITA of €108m compared to €84m in 2018.