Two babies are born in Spacland, while Space4 merged with Guala. In the meantime, Italian mid-market companies carry on acquisitions or implement ambitious plans with the support of financial sponsors
Marco Galateri di Genola e Suniglia (his brother Gabriele is the chairman of Assicurazioni Generali), Vitaliano Borromeo Arese, Giovanni Lega, Luciano Di Fazio, and Gianluca Cedro will list TheSpac on Milan stock market (See here a previous post by BeBeez). Galateri and Borromeo will act as chairman and vice chairman.
Andrea Battista, Giampiero Rosmarini, and Matteo Carbone launched Archimede, a Spac to list on Milan’s Aim by the end of May (see here a previous post by BeBeez). The fundraising target is of 32-47 million of euros for creating the first Italian insurtech. On 16 April Archimede signed a letter of intents with Aim-listed Net Insurance.
Gruppo Magnaghi Aeronautica, a Naples producer of components for aircrafts, acquired US peer Hsm- Blair after having sold a stake to private equity firm The Three Hills Capital Partners (see here a previous post by BeBeez). The financial firm acquired a 25% stake in Magnaghi from the Graziano family, the company’s owners, after having subscribed a capital increase. Last year Magnaghi had sales in the region of 100 million of euros. The company also announced that Giorgio Zappa (previously coo of Leonardo and ceo of Alenia Aeronautica) will be its new chairman, while Marco Cavazzoni (former vice presidente Global Services and Support of Boeing) will be the ceo of US subsidiary Mag Americas.
NB Aurora, the investment vehicle that private equity fund Neuberger Berman (NB) launched, closed its fundraising of 150 million of euros (see here a previous post by BeBeez). NBA will list today on Miv, Milan’s stock market segment for investment vehicles and will invest part of the the funds it raised for buying up to 44.5% of the portfolio that NB acquired last year from Fondo Italiano d’Investimento. NB Aurora is interested in minorities of export-oriented Italian businesses compliant with the criteria of PIR investment funds, and that generate revenues between 30 and 300 million.
EF Solare Italia, a joint venture of equals of Italy’s listed Enel Green Power and Italian infrastructure investor F2i, refinanced its portfolio of farms worth 1.02 billion of euros (see here a previous post by BeBeez). Banca Imi, Bnp Paribas, Credit Agricole, ING Bank, Unicredit, and Cassa Depositi e Prestiti supported EF with non-recourse project financing.
Aurelia, the Italian investment holding of the Gavio family, signed a non-binding Memorandum of Understanding with French financial firm Ardian Infrastructure for developing a strategic partnership to strengthen Gruppo Astm/Sias in the field of infrastructures (see here a previous post by BeBeez). Milan listed Astm and Sias operate in the areas of motorways concessions and act as EPC. Aurelia and the financial investor will create a newco in which Ardian will hold a 40% stake. Il The MOU doesn’t include any put option in favour of Aurelia, nor a call option in favour of Ardian. Such partnership will allow Gavio to seize opportunities for greenfield investments in the field of infrastructures for transports and join calls for tenders for motorways through Private and Public Partnerships (PPPs). Ardian due diligence may end by 31 July 2018 while the Italian transport authorities will have to express their agreement for this transaction.
The Italian Cabinet for Economic Development and the creditors’ commitee accepted the 3.1 million of euros binding offer that German turnaround firm Certina holding tabled for Demm, an Italian producer of mechanical components (see here a previous post by BeBeez). Certina will keep 125 of current 191 employees of Demm.
Asset Italia 1 srl, an investment veichle sponsored by Milan-listed investment company Tamburi Investment Partners and grouping 30 Italian family offices, together with other investors bought from Italian private equity firms Wise sgr and J.Hirsch&Co a 38.8% stake in Alpitour, the Italian tour operator (see here a previous post by BeBeez). Alpitour’s equity value is of 470 million of euros. After such a transaction, Asset Italia 1 will have 49.9% of the newco buying the 38.8% stake, while the ceo Gabriele Burgio will have 0.2% and other investors 49.9%. Last year Alpitour posted revenues of 1.2 billion (1.1 billion in 2016), an ebitda of 46 million (36 million). Once closed the acquisition of Italian competitor, the company’s sales will be of 1.6 billion and will hit 2 billion in 2019 when the integration of assets produce synergies.
London-based ICG is acquiring Nadella Group (NG), a French-born Italian producer of components for the mechanical industry, from Italian private equity firm 21 Investimenti (see here a previous post by BeBeez). Last year NG posted abrod 70% of its sales, which are in the region of 70 million of euros, while the ebitda margin is of 26%. Italian private equity 21 Investimenti acquired Nadella on the ground of an enterprise value of 56 million from financial firms Mid Industry Capital and Overseas Industries in 2014. Since then, 21 Investimenti supported NG for its growth in foreign markets through the acquisition of German peers Durbal 4-Linear, and BK, assets of Japan’s Jtekt, and Italian competitor Chiavette.
Clessidra will buy Scrigno, an Italian producer of components for doors and windows from the Berardi family (see here a previous post by BeBeez). Last year the company generated abroad 50% of its sales of 68 million of euros. Marco Carotenuto, managing director of Clessidra said that Scrigno might grow further through acquistions.
Guala Closures, the Italian producer of closures for the food and medical sector, will merge with the Italian spac Space4 and list69.3% of its equity on Milan stock market for a market capitalisation in the region of 700 million of euros (see here a previous post by BeBeez). This transaction will give Guala resources worth 180 million that the company will invest in taking its net financial debt to below 3x ebitda and growing through domestic and foreign acquisitions. Space4 will hold 81.2% of the business together with financial firms Peninsula Capital and Quaestio Italian Growth Fund, managed by Quaestio Capital sgr. Guala’s equity is worth 504 million, while it has an enterprise value of 1.079 billion or 9.1x the ebitda expected in 2018. Space4 will pay 409 million for its portion of 81.2% stake in the business, Peninsula and Questio will invest 50 and 10 million. The company’s managers will hold 14.8% and 23.7% of voting rights while vendors aPriori, NB Renaissance, and SwanCap will keep 4%. Guala’s creditors can oppose to the merger with Space4 by the end of July. Thus the company shares may start to trade in early August.