Fedrigoni produces self-adhesive labels and materials and value-added papers for luxury packaging and other creative solutions and has more than 4,500 employees in 27 countries and 48 facilities, including production plants, cutting and distribution centres
BC Partners entered into partnership with Bain Capital for joint ownership of Fedrigoni. (Credit: Bain Capital, LP)
Private investment firm Bain Capital Private Equity has entered into a joint ownership agreement for Italy-based Fedrigoni with BC Partners.
Fedrigoni, a producer of self-adhesive labels and fibre-based packaging products, was acquired by Bain in 2017.
Established in 1888, Fedrigoni produces self-adhesive labels and materials and value-added papers for luxury packaging and other creative solutions.
Currently, the company has more than 4,500 employees in 27 countries and 48 facilities, including production plants, cutting and distribution centres. It sells and distributes 25,000 products in 132 nations.
Fedrigoni has nearly tripled adjusted EBITDA and more than doubled adjusted sales since being acquired by Bain Capital through a mix of accelerated organic development and successful M&A.
The new partnership will support Fedrigoni’s management team as they aim to build on their successful track record of M&A.
The entire management team, together with the Fedrigoni family, which is already a partner of Bain Capital as a minority stakeholder, will continue to be involved in the company.
The deal is anticipated to conclude by the end of 2022, subject to approvals by relevant regulatory authorities. The transaction is valued at $3bn, reported Reuters.
A consortium of financial institutions has agreed to offer a debt financing package to support the acquisition.
Fedrigoni chief executive officer Marco Nespolo said: “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 4 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.”