In the summer of 2024, Elior Group announced the acquisition of Cogen, a Var-based SME specialising in maintenance and cleaning. It is now part of Derichebourg Facility, the Elior Group’s services division. Here is an explanation and analysis by the experts at AURIS Finance, a consultancy specialising in mergers and acquisitions.
Cogen, which has been based in the Var region of France for 35 years, recorded a turnover of €7.2 million in 2023. The company provides a comprehensive range of services for a diverse clientele, including condominiums, offices, supermarkets, shops, and healthcare establishments. In particular, it offers window cleaning, floor renovation, refurbishment and clearance services to customers in the Provence region.
A local presence
The acquisition of Cogen enables Elior Group to reinforce its geographical presence in the Var region and to expand its portfolio of contracts. Furthermore, the group already holds contracts in the local area through its subsidiary Derichebourg Facility. Elior Group’s services division currently employs 48,000 people across France, in approximately one hundred branches. It has a turnover of €1.1 billion. This acquisition forms part of the group’s commercial development strategy, which is designed to provide a broader range of services and reinforce its regional presence. The group plans to expand further in the Var region of France with the opening of a new site in the near future.
Integration within Derichebourg
While Elior Group has historically been known for its contract catering operations, the French catering specialist reached a strategic inflection point in 2023 with the merger with Derichebourg Group, an environmental services company. Consequently, Derichebourg became Elior’s largest shareholder. This transaction positioned Elior as a leading global provider of collective catering and multiservice. The objective is to transform Europe’s third-largest contract caterer into an international leader in contract catering and multiservice. The newly formed group employs 134,000 people and has combined revenues of €5 billion.
New markets and synergies
Derichebourg’s support has enabled Elior Group to extend its services to businesses and local authorities, offering a comprehensive range of solutions including collective catering, facilities management and HR services. This end-to-end offering enables it to address a broader market by supporting businesses with complementary services. It is anticipated that recurring revenue synergies of approximately €56 million will be achieved by the end of the 2026 financial year.
Our experts at your service
Following the merger with Derichebourg, Elior Group has reached a significant size and is now seeking new acquisitions. The recent acquisition of Cogen in the Var region is an example of this strategy in action. Further moves are anticipated in the coming months. Both highly specialised waste management companies and those with a more generalist approach but a strong local presence could become targets for major groups. The Auris Finance team comprises sector-specialised experts. Within the Cleaning and Services division, we are at your side. We provide comprehensive assistance throughout the sales process, from identifying potential acquirers to valuing your business.
