Progressio's Garda Plast bolts on Ifap

Alessia Argentieri
07 March 2018

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Progressio-backed Garda Plast has acquired Italy-based PET preforms and bottles manufacturer Ifap.

The GP backed the bolt-on by deploying €6.5m, Unquote understands. In addition to this, a debt package was provided by Crédit Agricole Cariparma and Banco BPM to support the transaction.

After completion of the deal, Ifap's management team will stay on with the company, supporting Garda Plast's CEO, Massimo Cutolo, by ensuring continuity of the business strategy.

Progessio intends to further strengthen Garda Plast's market position by supporting its expansion through organic growth and new acquisitions. It plans to buy two Italian companies operating in the same sector, with a turnover between €10-20m, Unquote understands.

Progressio bought a majority stake in Garda Plast, a manufacturer of PET preforms for mineral water, soft drinks and detergents, in July 2017, deploying capital from Progressio Investimenti Fund II. The vehicle held a €185m final close in 2011 and has now deployed 95% of its capital.

The firm held a €86m first close in January 2018 for its new vehicle Progressio Investimenti Fund III, which is currently fundraising and has a target of €225m. The vehicle has invested in the animal free clothing business Save the Duck in a deal that will be closed by the end of March, and it intends to make a further new investment in the coming months, the GP told Unquote.

Garda Plast expects that the acquisition will speed up growth and value creation, and forecasts a production of 3 billion PET bottles in 2018.

Company
Founded in 1959 and based in Palmanova, near Udine, Ifap specialises in the production of preforms and bottles made of PET (polyethylene terephthalate), a thermoplastic resin, for detergents, milk, dairy products and fruit juices. The company employs 40 staff and in 2017 posted an EBITDA of €2.8m from revenues of €27m and recorded a production of 560 million PET preforms.

People
Progressio – Filippo Gaggini (managing partner).
Ifap – Pietro Bruseschi, Marco Bruseschi (managers).
Garda Plast – Massimo Cutolo (CEO).

Advisers
Equity – Carnelutti Studio Legale Associato (legal); EY (financial & commercial due diligence); Studio Russo De Rosa (tax).
Company – Studio Pedersoli (legal); Gobbi e Associati (financial due diligence).