Bregal Unternehmerkapital and management team complete successful IPO for Novem Group S.A.

On July 19 Novem successfully completed its private placement to institutional investors (“IPO”) of 14,984,848 shares at €16.50 per share valuing the company’s share capital at a market capitalization of €710 million. The gross amount of €50 million in cash, raised through newly issued shares as part of a capital increase, will be used for optimising the capital structure and for refinancing liabilities, leading to a reduction in the cost of financing.


Novem, headquartered in Contern, Luxembourg is the worldwide leading manufacturer of high-quality premium decorative trim elements made of wood, aluminum, carbon or premium synthetics for car interiors within the automotive industry with a global market share of 46%. Its customer base mainly consists of premium OEMs, such as Audi, BMW, Daimler, JLR and Porsche, which value the company’s especially high level of quality and technological expertise, as well as its proven innovative strength. Founded in 1947, Novem today employs a workforce of around 5,700 people at 12 locations and generated revenues of more than €600 million in 2020.


The Bregal Capital III fund, advised by BU, acquired Novem in 2011 from a trusteeship. Bregal supported the newly appointed management team led by CEO Günter Brenner and CFO Dr. Johannes Burtscher with the implementation of comprehensive value creation initiatives. For example, a new, world-class manufacturing plant was set up in Mexico, the production footprint in China and Eastern Europe has been expanded, and the customer base in the NAFTA region and Asia has been increased. At the company’s main facilities in Vorbach, investments were made in new administrative and logistics buildings and a design centre. Best-in-class purchasing, operations and finance function were implemented. In 2019, Novem made its capital market debut by issuing a €400m bond, leading to an improved capital structure for the business. And during the COVID-19 crisis, Bregal and the management together successfully steered the company through challenges such as supply shortages.


As a result of these initiatives, Novem more than doubled its sales since Bregal’s entry, increased its EBITDA by 87% and created >1,300 jobs. Bregal has retained a shareholding of between 58 – 62% in the business subject to the exercise of the greenshoe.


Novem continues to benefit from its market-leading position and focus on the resilient premium automotive market. Based on its outstanding engineering and product development expertise in the areas of sustainability and connectivity, the company is spearheading the innovation in its category. We look forward to the company’s continued success and the further development of its leading market position. As shareholder, Bregal is delighted that it will continue to work alongside Novem.