Story of Gagéo
The financial services company Gagéo was created by Nolwenn Simon, who is passionate about business development and financing projects.
The idea for Gageo originated with a champagne wine inventory financing operation in 2001, in which the consulting firm Nolwenn had set up acted as arranger. Thanks to the stocks, the operation obtained a Baa2 rating from Moody’s, higher than that of the company. Two years later, she experienced the power of pledge with delivery when the company went into liquidation, and the investors were reimbursed.
In 2017, Nolwenn proposed to several investors to create an inventory financing offer, with the conviction that inventory is a high-value asset, like trade receivables for factoring, and equipment for leasing.
The initiative is supported by Caisse Centrale de Réassurance, which has become a sponsor investor in Fonds Gagéo. Like the companies whose fundamentals have been shaken up over the past 3 years, CCR is a close partner in its DNA, with a business model that has been constantly evolving since 2016, having resulted in a French-style success story in the reinsurance world.
Alongside CCR, CARAC, BEI, BPI and MIF have joined forces in a club deal to form the €85 million GAGEO 1 fund, which has made a cumulative investment of €87 million. By offering financing with a maturity of 5 to 7 years, this fund is a laboratory designed to demonstrate the economic usefulness of inventory financing for companies, and the security of investors.
Driven by a desire to serve the economy, the individual founders, alongside Nolwenn, François Drouin and Nicolas de Lorgeril, bring their experience as bank directors.
With an enlarged team and a supervisory board chaired by Valérie Pancrazi, the GAGEO 2 fund currently being raised aims to expand the number of companies using inventory financing.
The new fund also finances industrial equipment and equipment leasing. Part of the funds is earmarked for environmental themes, and the circular economy as defined by the European Investment Fund’s Climate Action and Environmental Sustainability policies.
Gagéo’s ambition is to generalize inventory financing for growing companies in the same way as factoring, which by 2022 will represent almost 70 billion euros in outstandings. Growing companies, or those involved in reindustrialization, need the inventory and investment financing they need to realize their ambitions.
Gageo’s ambition is also to create strong banking partnerships in order to structure the most suitable credit offers for customers, particularly short-term financing for intra-annual seasonality.
As you can see, Gageo is a fund with a mission to support national and European companies, giving them the means for local, sustainable development.