COGELEC (EPA:COGEC) - Cogelec announces the filing of its base document for its upcoming IPO on Euronext Paris.

Transparency directive : regulatory news

15/05/2018 08:30

PRESS RELEASE

  COGELEC ANNOUNCES THE FILING OF ITS BASE DOCUMENT FOR ITS UPCOMING IPO ON
                               EURONEXT PARIS

Mortagne-sur-Sèvre, FRANCE, on 15 May 2018, COGELEC, French leader in intercom
and access control, announces the filing of its base document with the
Autorité des Marchés Financiers (AMF) under number I.18 - 040 on 14 May 2018.

The filing of the base document marks the first step in COGELEC's IPO on the
regulated market of Euronext Paris, which remains subject to market conditions
and to the issuance of the AMF visa on the relevant Prospectus.

The access control market is changing fast

The access control industry for residential buildings is in the throes of an
unprecedented transformation with the development of GSM intercom technology.
The benefits of wireless intercoms are many: quick to install, no major works
and they function immediately; they also offer real-time remote management for
building managers and ease of use for residents.

A French leader in access control in a growth market

Since 2007, COGELEC has created a range that has transformed the intercom
market for building managers, social landlords and managing agents. COGELEC has
created the first full-function wireless intercom range, branded as
Intratone(r). This unique range applies a disruptive economic model that
includes equipment, an intercom solution and an online management tool. The
solution is sold as a subscription and has been a great success.

COGELEC has already equipped 850,000 housing, including 150,000 new housing in
2017, out of a total of 15.4 million potentially equipable housing in France.

Wired intercoms still have 95% of the French market. The GSM intercom solution
therefore has huge scope to expand in France in coming years.

COGELEC has been exporting its products for 5 years and is also offering its
solutions in several European countries, prioritising growth markets like
Germany, the UK, the Netherlands and Belgium through subsidiaries that are
already operational or being set-up now.

Exports made up 8% of Group revenue in 2017

A track record of growth and profitability

Based on an indirect distribution model coupled with strong local links to
final customers (social landlords and agents), COGELEC has a record of robust
performances. Revenue in 2017 was EUR30.6 million, up by 17% on the year.

The Group is highly visible in its business sector, with strongly recurrent
income (subscriptions, which contributed EUR7.4 million, are recurrent income).
COGELEC also estimates that 5% of the global installed base is renewed each
year. The churn rate was less than 0.25% of the number of residences in
2017(1).

The Group makes solid operating margins with current operating margin of 16.3%
in 2017 for current operating income of EUR5 million. COGELEC's net profit was
EUR2.9 million, a net margin of 9.5%.

Kibolt, the new disruptive innovation

Kibolt is a new and disruptive innovation, the result of 10 years of R&D.
Kibolt is a universal key that allows dynamic and easy management of access: a
single key to open all the doors in a building. Access can be allocated and
revoked at any moment, remotely and in real-time.

Kibolt is a high-tech product for which COGELEC has invested nearly EUR3.2
million and filed 9 patents. COGELEC plans to launch Kibolt at the beginning
of 2019.

A clear strategy and ambitious objectives

COGELEC's deployment strategy aims to triple its revenue to EUR90 million in
2021. To achieve this, COGELEC can count on several levers:

- the conquest of new market share in GSM intercom in France in collective
  housing through its Intratone(r) brand, with a target of EUR45 million in
  2021;
- development of its European market share in several targeted European
  countries (UK, Germany, Netherlands and Belgium), with a target of EUR30
  million in 2021;
- marketing of Kibolt, a new universal key, first in France then in Europe,
  with a revenue target of EUR15 million in 2021.

The potential market in collective housing in the four European targeted
countries represents a potential of 25.1 million homes(2) to equip. The Group
has already had good sales wins, particularly in the UK and Belgium.

(1) Source: Company

(2) Source: Company estimate, www.populationdata.net,
https://www.insee.fr/fr/statistics/2381488, Eurostat June 2017.

COGELEC is determined to accelerate its international development by
duplicating its successful model to conquer new market shares. The Group is
ready to go with its sales staff in place in each country and a substantial
hiring plan to take the sales force to 34 by end- 2019.

Kibolt, the latest disruptive innovation, will also be ramped up through the
sales networks already in place in France and Europe.

Roger Leclerc, Chairman, CEO and founder of COGELEC, comments the planned IPO:
"Our IPO on the regulated market of the Euronext Paris is part of the drive to
accelerate our roll-out in France and Europe. We have already become the French
market leader, thanks to our unique GSM intercom range based on a disruptive
technology that benefits building managers and residents alike. Our potential
in Europe is considerable and we have all the assets in place to extend our
market positions rapidly in our selected target countries. The launch of
Kibolt, our latest innovation, is an additional driver of growth in these
markets. The success of our IPO would be a decisive factor in achieving our
ambition: to become the European leader in access control to collective
housing."

   For all information on COGELEC's IPO see: http://investir.cogelec.fr

Contacts

Cogelec
Stéphane Vapillon
Chief Financial Officer
+ 33 (0)2 72 67 00 92
investors@cogelec.fr

Actifin, financial communications & PR
Ghislaine Gasparetto
+33 (0)1 56 88 11 22
ggasparetto@actifin.fr

Actifin, financial media relations
Jennifer Jullia
+33 (0)1 56 88 11 19
jjullia@actifin.fr

Obtaining the base document

Copies of the base document, registered by the AMF on 14 May 2018 under number
I.18 - 040, are available free of charge on request from the registered office
of COGELEC (370 rue de Maunit, 85290 Mortagne-sur-Sèvre) and on the websites
of COGELEC (http://investir.cogelec.fr) and the AMF (www.amf-france.org).

Risk factors

The public's attention is drawn to chapter 4 "Risk factors" in the base
document filed with the AMF.

Disclaimer

In no way do this press release and the information it contains constitute
either a purchase or subscription offer, or a purchase or subscription order,
for COGELEC shares in any country whatsoever. No share offer is made, nor will
be made, in France prior to obtaining approval from the AMF (French securities
regulator) based on a prospectus consisting of the base document, referred to
in this press release, and an offering memorandum (including the prospectus
summary) to be subsequently filed with the AMF.

Dissemination of this press release may, in some countries, be subject to
specific regulations. Consequently, persons in such countries where this press
release is released, published or distributed should inform themselves of and
comply with such laws and regulations.

This press release is promotional in nature and is not a prospectus, within the
meaning of Directive 2003/71/EC of the European Parliament and of the Council
of 4 November 2003, as amended (as transposed, where applicable, into law in
each Member State of the European Economic Area) (the "Prospectus Directive").

This press release does not constitute and may not be considered as a public
offer, a subscription offer or a solicitation of public interest for a public
offering of financial securities.

This press release constitutes neither an offer to sell securities nor a
solicitation of an offer to purchase securities in the United States. Shares or
other securities in COGELEC may only be offered for sale or sold in the United
States following registration under the terms of the U.S. Securities Act de
1933, as amended ("US Securities Act"), or within the framework of an exemption
from registration. Shares in COGELEC will be offered or sold exclusively
outside the United States of America as offshore transactions, in accordance
with Regulation S of the Securities Act. COGELEC has no intention of
registering the offering in part or in whole in the United States, or of
carrying out a public offering in the United States.

For EEA Member States having transposed the Prospectus Directive (a "Relevant
Member State"), no action has been or will be undertaken with a view to
enabling a public share offering that would make it necessary to publish a
prospectus in one or more of said Relevant Member States, other than France.
Accordingly, shares in COGELEC cannot and will not be offered in any member
state other than France, except under the derogations provided for in Article
3(2) of the Prospectus Directive, if they have been transposed into law in that
member state or in other cases that do not require the company to publish a
prospectus under Article 3(2) of the Prospectus Directive and/or regulations
applicable in the member state concerned.

In the UK, the press release is intended solely for persons who are (i)
investment professionals in the meaning of Article 19(5) of the Financial
Services and Markets Act 2000 (Financial Promotion) Order 2005 (current
version, the "Financial Promotion Order"), (ii) are specified in article 49(2)
(a) to (d) ("high net worth companies, unincorporated associations etc.") of
the Financial Promotion Order, (iii) are outside the UK, or (iv) are persons
to whom invitations or inducements to engage in investment activity (in the
meaning of section 21 of the Financial Services and Markets Act 2000) in the
framework of the issue or sale of all securities can be legitimately
communicated, directly or indirectly (collectively, the "Authorised Persons").
This press release is solely intended for the Authorised Persons and cannot be
used by any person other than the Authorised Persons.

This press release must not be published, distributed or otherwise disseminated
either directly or indirectly, in the United States, Canada, Australia or
Japan.

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COGELEC (EPA:COGEC) - Cogelec announces the filing of its base document for its upcoming IPO on Euronext Paris.

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