DeA Capital acquires Snaidero

Alessia Argentieri
23 July 2018

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DeA Capital Alternative Funds has acquired a majority stake in Italian kitchen designer Snaidero, while the company's founders, the Snaidero family, has retained a minority holding.

State-backed asset manager Società per la Gestione di Attività (SGA), which specialises in credit recovery operations, also acquired a minority stake in the business, Unquote understands.

The GP financed the investment via its second corporate credit recovery fund, Idea Corporate Credit Recovery II (Idea CCR II), which provides debtor-in-possession (DIP) financing and targets financially stressed mid-market Italian companies, aiming to support their turnaround and restructuring plans. Idea CCR II reached a €300m first close in January and has nine Italian companies in its portfolio, with combined revenues of €1bn and EBITDA of €60m.

Unquote understands that Idea CCR II will invest €13m in the company alongside Banca Ifis and SGA, to support Snaidero's growth plan. In addition to this, part of the company's bank debt will be converted into equity resulting in a €12m reduction of its deb.

DeA Capital appointed Massimo Manelli as CEO to lead the business, while current manager Edi Snaidero will stay on with the company as president. Idea CCR II's managing director Vincenzo Manganelli will also join Snaidero's executive board.

DeA Capital filed a takeover offer for Snaidero in May with an Italian court, the Udine Tribunal, which gave its approval to the proposed restructuring plan at the end of June.

Idea CCR II acquired €25m of Snaidero's €32m bank debt in December 2017. The deal was part of the acquisition of a portfolio of nine companies' loans bought by the fund from a pool of banks composed of UniCredit, Intesa Sanpaolo, Banco BPM, BNL, UBI Banca, MPS, Banca IFIS and Credito Valtellinese.

Company
Founded in 1946 and headquartered in Majano, near Udine, Snaidero specialises in the design and manufacture of kitchens, and employs 800 staff. Unquote understands that the company generated EBITDA of €1.3m from revenues of €114m in 2017, down from a turnover of €126.6m in 2016. Snaidero expects to exceed revenues of €120m in 2018 and reach a turnover of €130m in 2019. The company reported a net debt of €32m in 2017.

People
Snaidero – Massimo Manelli (CEO); Edi Snaidero (president).
IDeA CCR II – Vincenzo Manganelli (managing director); Federico Giribaldi (investment director).

Advisers
Acquirer – KPMG (corporate finance); Studio Pecile (legal, tax); Studio GMR (tax); Studio Giovannelli & Partners (legal); Latham Watkins (legal).