Today, Corsica Gastronomia – a local manufacturer producing agro-food products from Corsican agricultural resources – is a leader in the Corsican market and a worthy competitor in the French market, especially in the jam sector, being offered alongside the major brands in all the national chains. The ERDF facilitated the creation of a holding company so that 4 employees could buy out the company when their employer and founder of the company retired. These employees were able to complete the financing for the buyout transaction.
- 16 January 2020
’Work conditions are satisfactory, the 2017 balance sheet is positive with annual revenues of EUR 8 M. Overseas development continues at a rate of 10%.
Corsica Gastronomia was created in the early 1990s by Charles Antona in Sarrola Carcopino, Corse du Sud (South Corsica). In the summer of 2015, the founder decided to retire and invited his close associates, who had been in the company for more than 15 years, to buy him out.
Financial arrangements for the “transfer takeover” package could be finalised, involving ERDF funding of 12%, which was crucial for culminating this takeover locally. One year later, in August 2016, the 4 associates took over the company.
Support from local organisations
Following the founder’s retirement, the challenge was to execute a “smooth” transfer takeover. It was a matter of allowing the employee transferees, co opted by the transferor and the remaining employees and who had no resources of their own, to buy the company shares.
To do this, the employee transferees, the transferor and their certified public accountant quickly contacted the Agency for Economic Development in Corsica (Adec) to seek their advices and rely on their expertise. From the summer of 2015, one year before the transfer takeover, numerous round table work meetings were organised with the various stakeholders: Adec, the Corsica Development Fund, the Public Bank of Investment, Initiative Corse, local banking establishments and the local investment fund. The challenge was to complete the financing plan so that the transaction could take place.
The employee transferees created Corsica Gastronomia Holding, which bought the shares of the company Corsica Gastronomia from Charles Antona and his holding company, SAS A Settia.
An iconic Corsican economic success
In parallel to executing the project, in February 2016, SAS Corsica Gastronomia created the position of administrative and financial director in order to support the transferees during and beyond the transaction, to provide them with internal technical support in their role as directors. This project also provided transparency to the continuing activity of the company, which has more than 40 employees.
As a remarkable company, thanks to its local influence, its employability, its role as an ambassador (abroad) and therefore as a catalyst, the transfer takeover was an issue for the company, but also for the employees and beyond, for Corsica, with its EUR 8 million in annual revenues.
Total investment and European funding
The ‘SAS Corsica Gastronomia Holding’ project received a total investment of EUR 2 774 034, with the European Regional Development Fund contributing EUR 676 045 under the ERDF-ESF Corsica cooperation programme for the 2014-2020 programming period. The investment falls under the ‘Domestic market, employment, growth and investments’ priority area.