Success stories

Inside’s no-contact technology convinces buyers worldwide

" Gimv spotted the uniqueness that others missed. "

Inside Contactless develops and markets chips and other hardware for contactless smartcards and electronic card readers. The company’s chips can be used in a multitude of applications, including mobile phones, payment cards and electronic passports. With offices in France, China, Poland, the USA and Singapore, Inside is a global player. Rémy de Tonnac, CEO of the company since 2006, has been involved in the company since the early beginning. He talks about his experiences with Inside’s venture capital provider, Gimv.

How did the cooperation between Inside Contactless and Gimv come about?
Inside Contactless was established in 1995. In 1998, when we were looking for venture capital, we only had a limited group of capital providers to choose from. I had extensive experience in private equity operations, but working with Gimv was a revelation. We were an early stage business, but Gimv understood the potential that our technology had to offer. Initially, I was not very keen on spinning off Inside from its parent company Gemplus. Inside would initially have to focus almost entirely on research & development, a daunting prospect. Gimv had a sharp eye for Inside’s distinctive technology and patents, and immediately identified the issues that needed to be addressed.

What distinguishes Gimv from other investment companies?
Gimv spotted the uniqueness that others missed. They carefully assessed the quality of our management team and the way in which key processes were implemented. Other venture capital providers are interested primarily in the financial side, and in short-term objectives. Gimv is in for the long haul. They seconded highly competent people to serve on our board of directors. These people really made a difference.

In which sense did Gimv contribute to Inside’s success?
Gimv proved to be a partner we could count on when the going got rough. Challenging situations reveal whether people are truly committed. Gimv has a no-nonsense, direct style, which you have to be ready to accept. But the results have always been positive. Gimv asked the right questions at the right time, so we knew what the real challenges were. We learned when to deal with dysfunctional situations in the organization. At times this was tough, but always very relevant. With well-argued, well-founded reasons, Gimv exercised just the right pressure to make Inside successful.

What do you consider to be Gimv’s best card?
Gimv is not only driven by the financial side of things, but also by a strong concern for the company. As such, it is a respectful partner. Gimv has an eye for key questions. Is the positioning good? Can the gross margin hold? Who will be the strong player in the market two years out? How and with whom should the operations be streamlined? And do we have the right people? Basic questions that have to be asked at the right time. That is exactly what Gimv did. An approach that delivers the results it promises. As a partner, Gimv says what it does and does what it says. We also gained a lot from the high-quality introductions that Gimv provided, for instance to influential parties and decision-makers such as top semiconductor producers. We hope to be able to continue to leverage Gimv’s strengths in the future.

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