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Chequers Capital Takes Minority Stake in Provalliance

The French private-equity concern now owns 40 percent of Europe’s largest hair-salon operator.

PARIS — Provalliance — Europe’s largest hair-salon operator, with holdings such as Franck Provost, Jean Louis David, Jean-Marc Maniatis and Saint Algue — has a new minority shareholder: Chequers Capital.

Regis Corp. sold its 48 percent share in Provalliance, worth 80 million euros, or $104 million at current exchange, to the Provost family, Provalliance managers and Chequers Capital on Sept. 27. As reported, Regis announced in April its intention to sell the stake to focus on core assets.

Following the deal, the Provosts and Provalliance managers now hold 60 percent of the firm, while Chequers Capital has the remaining 40 percent.

Provalliance plans to accelerate its development, which already includes opening 200 salons throughout the world this year, said Marc Aublet, the company’s chief executive officer, Thursday morning during a press conference in Paris. He specified the company’s three areas of future expansion are to continue evolving its brands, either wholly owned or franchised; to make acquisitions, with northern Europe a priority, and to broaden its scope of activities in domains related to hairdressing.

Provalliance owns nine brands and runs 420 salons. Including business in its 2,180 franchised locations, the firm generates approximately 1 billion euros, or $1.3 billion at current exchange, annually. Last year it registered growth of 1.5 percent at constant group structure. Also counting franchises, Provalliance has 20,000 collaborators in 35 countries, of which 3,500 are direct employees.

According to the company, France’s salon industry makes more than 6 billion euros, or $7.8 billion, per year through 55,000 salons. And 90 percent of those are independent.

Worldwide, the salon business rings up 115 billion euros, or $149.44 billion, with Europe and the U.S. each generating one-third.