For immediate release
Friday 27th October, 2006
Candover acquires from Permira a majority stake in Ferretti SpA, a leading
manufacturer of high performance luxury motor yachts
Candover* and Permira, two leading Private Equity specialists, today announce
the acquisition by Candover of a majority stake in Ferretti SpA ("Ferretti")
from Permira.
Majority equity funding is being provided by the Candover 2005 Fund
(approximately 60%) with Permira Funds, Norberto Ferretti, Chairman, and his
management team re-investing the remaining 40%. Debt and mezzanine financing is
being underwritten by Royal Bank of Scotland (RBS). The acquisition is
conditional upon EU antitrust approvals and is expected to complete by the end
of 2006.
This is the fifth investment to be made from the €3.5bn Candover 2005 Fund and
is the first investment by Candover's Italian office which opened in September
2006.
Ferretti is one of the world's leading manufacturers of high performance luxury
motor yachts. The business operates through nine leading brands, Ferretti,
Pershing, Itama, Riva, Apreamare, CRN, Custom Line, Mochi Craft and Bertram,
all focused on the top end of each market segment. In the financial year to
August 2006, Ferretti reached €770.4m of value of production and €118.4m of
EBITDA selling 461 yachts through a network of 159 dealers, across 95
countries.
Founded in 1968 by Norberto Ferretti, currently Chairman, the business is
headquartered in Forli, Italy. It employs 2,600 people and operates from 22
production facilities across 15 sites in Europe, with one in the US. Ferretti's
management team has grown the business significantly both organically and via
complementary acquisitions. In 1998, Ferretti acquired Bertram Yachts and
Pershing in 1998, CRN in 1999, Riva in 2000, Apreamare and Mochi Craft in 2001,
and Itama in 2004. In the last three years Ferretti's revenues have grown at a
rate of almost 23% per annum. Permira acquired the Group in 1998, brought the
Company public in 2000 and took it private again in 2002.
The Company, which had initiated a dual track, will therefore postpone the IPO
to enter the next phase of the Company's development.
Commenting on the deal, Norberto Ferretti said:
"We are extremely pleased to be backed by Candover, a well respected European
private equity house. Their financial expertise will be invaluable to help
execute on the next phase of our growth strategy. We believe that, with their
help, we can continue to expand our business internationally both organically
and by acquisition, to sustain our position as the world's leading manufacturer
of high performance luxury yachts".
Commenting on the transaction, Aldo Maccari, Candover Director and Head of
Italy, said:
"Ferretti is an exceptional business and a highly sought-after asset. We are
delighted to be taking a majority stake with Permira and Ferretti's founder
retaining a significant stake in the new equity structure. The business has
demonstrated an impressive track record of organic revenue and EBITDA growth,
is well invested and growing at pace. As a result, we expect to see that
out-performance continue under the careful guidance of the management team, led
by Norberto Ferretti, Founder and Chairman of the business".
Paolo Colonna, a Permira partner and Ferretti board member, comments:
"We're extremely excited about partnering with Candover and Norberto Ferretti
to support Ferretti in a new development phase. We strongly believe in the
Group's potential and in the outstanding management team, an amazing platform
for future success".
Candover was advised by Goldman Sachs and Rondelli & Partners (m&a), Bonelli
Erede Pappalardo (legal), Camozzi & Bonissoni (tax), KPMG (accounting). Debt
advisors were Rothschilds.
Permira was advised Mediobanca, Merrill Lynch and Lazard (m&a), Studio
Giliberti Pappalardo Triscornia (legal), Allen & Overy and Clifford Chance
(financing legal), Deloitte & Touche (accounting), Bain (business) and Studio
Fantozzi (tax).
-Ends-
*Candover means Candover Investments plc and / or one or more of its
subsidiaries, including Candover Partners Limited as General Partner of the
Candover 1997 and 2001 Funds and as Manager of the Candover 2005 Fund.
For further information, please contact:
For Candover
Aldo Maccari, Head of Italy +39 02 763 16002
For Permira
Paolo Colonna +39 02 7600 4740
Tulchan Communications
Julie Foster / Peter Hewer +44 (0) 20 7353 4200
About Candover:
Candover is a leading provider of private equity for large European buyouts.
Founded in 1980, Candover has invested in 130 transactions with a value in
excess of €38 billion. Investment in deals by Candover is provided in two
forms, from Candover Investments plc, a publicly quoted investment trust, and
from funds managed by Candover Partners Limited, a wholly owned subsidiary.
In November 2005, Candover raised the €3.5bn Candover 2005 Fund which has made
four investments to date, the €1bn acquisition of Hilding Anders, a leading
European mattress and beds manufacturer, the £348.7m acquisition of UK mail
services company DX Services plc and merger with Secure Mail Services, the €450
million buyout of Norwegian cable TV operator UPC Norway, and the €480 million
buyout of EurotaxGlass's Group, a leading provider of automotive data and
intelligence services.
The Candover Group now has four offices in London, Paris, Düsseldorf and Milan,
and a local advisor in Madrid. Candover Partners is authorised and regulated by
the Financial Services Authority in the UK.
About Permira:
Permira is a leading international Private Equity specialist. As an independent
business, Permira is owned and controlled by its partners. The firm's team of
over 100 professionals, based in Frankfurt, London, Madrid, Milan, New York,
Paris, Stockholm and Tokyo, advises the Permira Funds with a total committed
capital of more than Euro 20 billion. Since 1985, the Permira Funds have
completed over 280 private equity transactions. During the last year, the
Permira Funds have committed to ten transactions with a combined transaction
value of over Euro 27 billion. Recent deals involving the Permira Funds have
included the acquisitions of Nordic telecoms firm (TDC) - the largest private
equity transaction ever undertaken in Europe - pan-European media business (SBS
Broadcasting), leading UK roadside recovery and insurance firm (the AA),
lItalian leading betting company Sisal and (Intelsat), the largest global
satellite business. www.permira.com
END
© 2006 PR Newswire
