(BFM Bourse) – The designer and online distributor of furniture and decorative items is sought Monday on the stock market Monday while the M6 group will rise to more than 20% of the capital. A new sign of confidence from M6, three years after the signing of a partnership between the two parties.
Like in an armchair. Three years after signing a successful partnership, the M6 group takes a stake in Miliboo. The former small chain that is rising now climbs to more than 20% of the capital of the Haute-Savoie specialist “in the design and sale of “trendy”, modular and customizable furniture on the Internet”.
This equity investment is made within the framework of a conversion of bonds into shares issued for the benefit of the M6 channel in accordance with the agreement media for equity signed in March 2019. The two companies then entered into a three-year partnership “in order to support Miliboo’s development ambitions”. The M6 group thus made available to the Haute-Savoie company a volume of advertising space on all of its media (TV, radio and digital antennas) and was remunerated in return by bonds convertible into Miliboo shares of a total value of 3.75 million euros.
Created in 2005, Miliboo specializes in the design and sale of “trendy, modular and customizable furniture on the Internet with more than 2,500 references mainly sold on its site and in its three “Milibootik”, physical points of sale, located in Paris and Lyons.
A visible effect on the accounts
The effect of this partnership was visible on Miliboo’s accounts, welcomes the company whose turnover has increased sharply, from 23 million euros at the end of the 2018-2019 financial year to nearly 40 million euros in 2021-2022, i.e. a growth of 70% in 3 years. Miliboo’s revenue growth “has been accompanied by a virtuous effect with a break-even point reached and then exceeded over the last two years”, indicates its CEO Guillaume Lachenal who adds that he has observed “a strong increase in brand awareness Miliboo with consumers”.
By opting for this conversion of bonds into shares, the M6 group today confirms its desire to continue the collaboration with Miliboo by becoming a reference shareholder with 21.4% of the furniture designer and distributor’s shares. This operation also strengthens the equity of the furniture specialist and reduces its debt by 3.75 million euros.
The television and radio group considers Miliboo able to “continue its development and continue to take new market shares thanks, among other things, to its model phygital performance”. In return, the furniture specialist “will continue to invest regularly in advertising with the M6 group to support its development within the framework of a traditional advertising budget”.
The market reaction is logically very favorable to this entry into the capital of the M6 group, the title climbing 11% to 3.29 euros around 3:00 p.m., the highest in a month. However, it is down nearly 65% from its historic highs of 9.34 euros, recorded a year ago to the day.
Sabrina Sadgui – ©2022 BFM Bourse
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