The listed wine company Italian Wine Brands (IWB) will acquire 100 percent of the shares of Enoitalia S.p.A.. The capital value of the acquisition is €150.5 million. The mega-merger creates the private company with the highest turnover in Italy. Together, the two companies have a business volume of €405.1 million and an Ebitda of €42.7 million. IWB closed with €204.3 million as of 31 December, and Enoitalia closed with €200.8 million.
Gruppo Pizzolo, majority shareholder of Enoitalia, is reinvesting in IWB through the purchase of 1.4 million newly issued ordinary shares (€32.50 each), which are subject to a 36-month lock-up. Through the share purchase, the Group acquires 15.91 percent of IWB's ordinary share capital.
IWB announces that the entry of Enoitalia strengthens the group's presence in international markets, particularly in the UK, where Enoitalia alone turned over €68.1 million last year, and in the US, which contributed €16.9 million to total earnings. "A more extensive portfolio of products and brands, a broader customer base, greater territorial diversification of sales, entry into the on-trade channel, a doubling of volume with synergies in production and trade, all in all: more competitive strength," says Alessandro Mutinelli, IWB's president and chief executive, summing up the benefits of the integration.
Contractual agreements ensure that Giorgio Pizzolo will remain CEO and president of Enoitalia. Once the closing of the operation has taken place, Giorgio and Marta Pizzolo will be integrated into IWB's Board of Directors.
With this deal, Italy is witnessing the second major capital bundling in the wine industry within two months. At the end of April, Clessidra Private Equity sgr had, after Botter, also united Mondodelvino in the investment fund Clessidra Capital Partners 3
and created a market player worth around €350 million. Despite the increasing concentration, the Riunite & CIV cooperative group remains Italy's largest wine company in terms of turnover, with around €600 million. vc
