Investindustrial, through B&B Italia has signed an agreement to become the majority partner of Arclinea Arredamenti, the Italian leader in high-end designer kitchens.
The Fortuna family, the current sole shareholder of Arclinea, will continue to own a minority stake, and at the same time will continue its role in the operational management, with Silvio Fortuna becoming chairman of the company (see here the press release).
B&B, a player of global excellence in the design of indoor and outdoor designer furniture for 50 years, has been controlled by Investindustrial with an 80% stake since xx 2015 (see here a previous post by BeBeez).
Through this agreement, Investindustrial creates a global high-end furnishings player with about 200 million euros turnover (85% of which is exported) and a presence in over 80 countries worldwide. The operation will offer B&B Italia the opportunity to expand its product range into the high-end designer kitchen segment.
Through the partnership with Investindustrial, which has identified a high potential for further development in the Italian luxury furniture segment, Arclinea will be able to substantially accelerate its growth plans. Specifically, the agreement provides for the development of strategic partnerships leveraging the full complementarity of the respective product ranges, and on the common ability to combine unique design with, tradition and innovation through a re-known industrial production approach.
The transaction will be completed by the end of September 2016, and represents for B&B Italia the first step of a growth plan aimed at further industrial development and global expansion, either through organic growth or selective acquisitions.
Giorgio Busnelli, ceo of B&B Italia said: “For B&B Italia this is the first major milestone in the growth and development process that formed the basis of the agreement which we signed with Investindustrial last year. B&B Italia now expands its product portfolio into the exciting segment of designer kitchens, a sector of primary importance for both residential and commercial business. Brand strength, a dedication to research and innovation, and a global footprint are some of the values shared by the two brands. The shared mind-set will make it possible to activate synergies in terms of business development and strategic thinking, which will be a very exciting task for both of us to accomplish”.
The company is headquartered in Caldogno, Vicenza, Italy. It has 100 employees and reached 20 million euros in revenues in 2015 after having reached 15.8 millions in 2014, when it obtained 105k euros in ebitda (see here an analysis by Leanus, please register for free and login before clicking on the privided link). Arclinea now exports more than 65% of its entirely Italian-made production.