PM & Partners sells Plastiape for c€150m

Amedeo Goria
21 November 2016

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Italian mid-market buyout house PM & Partners has sold its stake in pharmaceutical and cosmetic packaging manufacturer Plastiape in a trade sale.

As part of the deal, the GP sold its stake to the British listed corporate RPC Group via an on-the-market transaction. According to a source familiar with the transaction, the deal valued the business at approximately €150m EV. Moreover, the GP claimed to reap return multiples in line with the sector standards.

Investment banks Baird and Banca Imi co-led an auction process for the sale, launched in July 2016, which saw several private equity funds as well as corporates show interest in Plastiape.

Previous funding
In 2008, Italian GP Aksía Group bought a 53.9% stake in the firm in an LBO valued at more than €40m, with €20m of equity. As part of the deal, Banca Popolare di Milano and Interbanca underwrote the €18m senior debt that also included the refinancing of Plastiape's previous debt facilities.

In June 2013, PM & Partners acquired a 77.67% stake in the business via its vehicle PM & Partners II. The deal valued the business at €71m EV, which equalled a 7x multiple of the company's EBITDA for 2012. Aksía scored a 3x money multiple on its exit. As part of the deal, the owning Citterio and Magni families retained a 10.23% and 7.8% stake in the business, respectively. The management team bought the remaining 3.8% stake.

In 2015, the company enacted a €40m recapitalisation plan led by GE Capital, alongside Ubi Banca and Banca Popolare dell'Emilia Romagna, to increase liquidity. As part of the refinancing, the GP is understood to have used part of the proceeds to pay back 50% of its original investment to LPs.

Company
Founded in 1969 and headquartered in Lecco, Plastiape operates in the packaging sector mainly for the pharmaceutical, personal care products and medical devices sectors, including dry powder inhalers.

According to the source, the company generated €55m in revenues with €12.5m EBITDA in 2015. The business employs 300 people and also has a presence in Poland.

People
PM & Partners – Andrea Mugnai, Andrea Sagone, Francesco Panfilo (managing partners).
Plastiape – Giulio Agostini (chair); Alfredo Masuello (CEO).