Perpetual compounder model and decentralized governance: the new platform led by Tom Van der Haegen focuses on SMEs that were formerly business units of large groups. First Italian deal coming soon.
An Italian holding company that will serially acquire small business segments of large European companies, including multinationals, with the aim of transforming them into successful independent businesses, all part of a single new industrial platform. Newport & Co. is the first Italian holding company with permanent capital dedicated to corporate carve-outs, founded with an initial capital of €30 million provided by the US fund Hampton River Partners, based in Austin, Texas (see here the press release). This is a first for Italy, but while the model was previously unheard of in Italy, it is already well-established in the more advanced markets of the United States, Germany, and Northern Europe, where these holding companies are often listed on the stock exchange.
Unlike traditional private equity funds, the holding company structure is not tied to pre-established divestment horizons. But unlike a traditional holding company, it reinvests the profits generated by its subsidiaries in new acquisitions, effectively becoming what Anglo-Saxons call a perpetual compounder. The model fits into a context where many large corporations are seeking to divest non-core assets, and therefore the availability of operators with a permanent capital approach, capable of ensuring industrial continuity, leveraging expertise, and preserving employment, represents a new and strategic lever.
With the mission of being a “safe haven for non-core businesses,” Newport & Co’s operating model combines patient capital, decentralized governance, and structures that strongly align the interests of all stakeholders. Specifically, Newport & Co envisions that the managers of the acquired business units be given full responsibility for leading their companies, with decision-making autonomy and incentive plans that reward value creation over time. To support this autonomy, the holding company provides tools, expertise, and consolidated best practices, offering direct operational support when needed, while leaving local management the freedom and responsibility to act as true entrepreneurs.
The new holding company’s headquarters will be in Verona, an unusual location for launching an investment vehicle in Italy, but simply because that’s where Tom Van der Haegen lives. He co-founded Newport & Co. with the US fund and is an expert in private equity, particularly in carve-outs, spin-offs, buyouts, and restructurings, having worked for the past five years at Ibla Capital, an independent investment company, targeting Private Equity investments in small and medium-sized businesses headquartered in Italy. Van der Haegen participates in the new vehicle’s capital through his holding company, Newport Investments, where he is joined by Jimmy Clarini, a manager with extensive experience in special situations and a solid career in both SMEs and multinationals.
To establish the company, Hampton River and Newport Investments relied on Bonafè Grifoni Associati for tax matters, incentive plans, and all corporate aspects, while Almaled and Simmons & Simmons handled the legal aspects.
Newport & Co’s acquisition targets will be business units with revenues between €10 and €100 million and EBITDA of up to €2.5 million, and the first transaction, involving an Italian asset, is already in the pipeline.
“Newport & Co was born from the idea that corporate carve-outs deserve a permanent home,” Van der Haegen told, adding: “We are entrepreneurial, specialized, and reliable partners for both sellers and management. We invest equity, grant full autonomy to local management, and align our success with that of the companies we build. Newport & Co is the safe haven for corporate carve-outs in Europe.”
Matthew Morris, founder and managing partner of Hampton River Partners, adds: “This joint venture reflects our shared belief in the value of patient capital and the power of entrepreneurial autonomy. In the Newport team, we have found a partner who shares our long-term vision: to build a serial acquirer platform in Italy capable of creating consistent value for decades.”
Founded in 2018, Hampton River Partners is a private equity firm specializing in incubating and investing in early- and growth-stage serial acquirer platforms. The investment is conducted through the Hampton River Holdings fund, and its mandate is to invest in the best companies and teams, wherever they are located in the world.
Newport & Co. is the fund’s third investment of the year, following those in Evergate Holdings last June and Thundercat Industries in February. The first, based in the US, targets specialized American companies operating in critical sectors, ensuring the safe and efficient operation of critical infrastructure, roads, utilities, and public services. The second, based in the UK, targets British manufacturing companies.
