Global private investment firm Bain Capital acquired Fedrigoni in 2017. Under Bain Capital’s ownership, Fedrigoni has more than doubled its adjusted sales and nearly tripled its adjusted EBITDA through a combination of organic growth acceleration and M&A activity.
Meanwhile, BC Partners has helped its portfolio companies execute “over 400 add-on transactions” over the last decade.
The sustainability-driven growth focused firm said it “has long viewed Fedrigoni as a leader in this attractive and resilient end market, addressing the need for greater sustainability in packaging”.
“We are excited to welcome BC Partners as a new partner in Fedrigoni,” said Ivano Sessa, chairman of Fedrigoni Holding Ltd and co-head of Industrials at Bain Capital Private Equity Europe.
“We have partnered with [Fedrigoni CEO] Marco Nespolo and the rest of the management team over the last four years to transform Fedrigoni and create a global leading platform in luxury packaging and labels.
“In this next phase of the journey, we will work with all our partners to continue building on the great success that Fedrigoni has achieved.”
Stefano Ferraresi, partner at BC Partners, added: “We are confident that this partnership with Bain Capital will create significant growth opportunities across the business. We share Marco’s vision and ambitious growth agenda and view Fedrigoni as the ideal platform to invest in this attractive segment of the market, with scope to continue to build on its leading positions in luxury packaging and labels and broaden its product portfolio through acquisitions and strategic partnerships.”
Nespolo also commented: “The whole Fedrigoni leadership team and I are thrilled to continue our very ambitious growth path in partnership with Bain Capital and BC Partners.
“The last four years have seen Fedrigoni undertake a very comprehensive and successful transformation, on product portfolio, geographic footprint, go-to-market, operating model, culture, and governance.
“This has been possible thanks to the great partnership with and strong support by Bain Capital. We look forward to sharing the next leg of the journey with an additional, very relevant investor and partner, whose trust makes us feel honoured.”
The partnership, a combination of reinvestment by Bain Capital and investment from BC Partners, will result in a change of control of Fedrigoni to joint control between Bain Capital and BC Partners.
It will support Fedrigoni’s management team as it looks to build on its successful track-record of M&A. The Fedrigoni family, already a partner of Bain Capital as a minority shareholder, will remain invested in the business.
The transaction is expected to close by the end of 2022, subject to approvals by relevant regulatory authorities. A group of financial institutions has committed to provide a debt financing package in support of the deal. Fedrigoni’s existing senior secured notes are expected to be refinanced at the closing of the transaction.
