Melegatti, the iconic Italian company which has been making the pandoro Christmas cake since 1894, asked for creditor protection to the Verona Court and is waiting for the Court to appoint two public commissioners who will be leading the company in the next few months (see here Il Gazzettino).
The decision to ask for a “concordato in bianco” to the Verona Court wad taken last October 31st by the shareholder’s meeting and the filing was delivered to the Court by Melegatti’s financial advisor, Mr. Giambruno Castelletti, who also drew a 16 million euros plan to relaunch the company that is risking not to be produce anymore due to lack of cash (see here a previous post by BeBeez).
Melegatti might then try to find a debt restructuring agreement with its lending banks (Banco Bpm, Bnl, Mps e Unicredit) in the framework draw by the Italian Bankrupcty Law (art. 182-bis) as new finance is being invested by a new investor. Rumors are that a Malta-based investment firm might be Melegatti’s white knight.
Of the 16 million euros in the plan, the first 6 millions are needed to finance pandoro and panettone’s production for next Christmas while the other 10 millions will finance production for next Easter season.
The plan is conditioned to Melegatti’s workers to come back to work as they were on strike after they have been not paid since last August.
Melegatti is burdened by a heavy debt after the company invested 15 million euros in a new plant last February aimed at producing croissant so to diversify its products range. However the investment was too big as the company was already in a difficult financial situation and was said to be financed by the company just using all the short-term facilities.
Melegatti reached 55.1 million euros in revenues in 2015 (after 57.4 millions in 2014), 2.17 millions in ebitda (from 1.65 millions) and a net loss of 0.188 million euros (from -0.379 millions) with a 15.5 million euros of net financial debt ebitda (from 16 millions) (see here an analysis by Leanus, after free registration and login). As for 2016 financial statements, they have not been approved yet.
Melegatti is owned by the Turco and Ronca families, with Turco’s who took control in 2007, but the two families have been fighting for years. The copany is now led by chairman and ceo Emanuela Perazzoli, part of the Turco family.