Avenue Capital, together with Europa Investimenti, won the auction to buy the entire capital of  Selcom Elettronica spa and its Chinese subsidiary Selcom Electronics (Shanghai),companies that design, test and manufacture electronic and mechanical customized products. The two funds won an auction held by the Bologna Court (download here the press release).
The deal has been conducted through Eiso1 srl, offering 30.7 million euros for the assets. The deal is expected to be finalized by June 1st.
Avenue Capital and Europa Investimenti aim to relaunch Selcom group, injecting to new finance and new professional competences in order to support a new business plan while saving the company’s financial stability.
Selcom faced a financial crisis in 2015 as it was not be able to serve 120 million euros of financial debts while revenues dropped to 200 million euros from 280 millions the year before. Former ceo Fabrizio Ricchetti, who bought out the company some years before, wasn’t actually able to relaunch it.
Avenue Capital and Europa Investimenti were supported by Pedersoli law firm , by Roland Berger as for comemrcial and business issues, by PwC as for financial and fiscal issues.
Last December Netherland’s company  Roj, part of Van De Wiele group, put forward a binding bid for Selcom conditioned to Selcom’s admission to a bankruptcy procedure by the Bologna Court. A competitive auction was then held by the Bologna Court fixing a 26 million euros base price for both the Italian and Chinese assets and a 12.77 million euros base price for the Italian assets alone (download here the auction documents).