Avenue Capital et al. buy Selcom Elettronica
US-based asset management firm Avenue Capital and Italian special situations investor Europa Investimenti have wholly acquired electronic and mechanical components producer Selcom Elettronica for €30.7m.
The deal saw Avenue Capital acquire a controlling stake in the business, while Europa Investimenti secured the remaining stake. As part of the acquisition, the GPs acquired the Italy-based company as well as its Chinese branch Selcom Electronics, based in Shanghai, for €30.7m.
The deal was made via the EISO1 newco and follows the insolvency proceedings filed for the business in March 2017, when the Bologna tribunal valued the business at €26m. According to press reports, the company saw its revenues drop from €280m in 2013 to €200m in 2014.
Company
Selcom produces electric and mechanical components for the industrial sector, focusing mainly on industrial automatisation. Established in 1979 and headquartered in Castel Maggiore, the company has three production plants in Italy, Tunisia and China, and employs 770 people.
Advisers
Equity – Pedersoli Studio Legale (legal); Roland Berger (commercial due diligence); PwC (financial due diligence, tax).
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