Bluegem Capital Partners acquired Panzeri Diffusion through its subsidiary Pool Service. When merged, it will form Italy’s third-largest professional haircare group.
WHO: Panzeri, which was founded in 1999 by Ivano Panzeri in Malnate, Italy, owns a portfoilio of professional hair product brands that include Z.one Concept, Milk_Shake, No Inhibition, Simply Zen, Depot, and Urban Tribe. The group has an important presence in foreign markets, particularly in the US.
Bluegem is a London-based, pan-European, mid-market private equity fund specialized in consumer brands. Established in 2007, Bluegem has over €600 million of assets under management. Its portfolio companies include global, well-known brands in the reference market such as Dr. Vranjes, Light & Living, Mamas & Papas, QMS, and Iconic London.
WHY: In September 2019, BlueGem acquired the Pool Service/Medavita group with the aim of creating an aggregator platform in the professional hair cosmetics sector with a build-up strategy. In October 2020, the acquisition of Panzeri Diffusion marks the first important step for Pool Service/Medavita for the consolidation of the field that offers significant operational synergies. Medavita will also be able to leverage Panzeri’s successful experience in the US market to develop its presence in North America.
IN THEIR OWN WORDS: Emilio Di Spiezio Sardo, co-founder of Bluegem Capital Partners, commented: “This is a transformative acquisition for Pool Service and Bluegem III, and we expect the group to continue to grow under the leadership of Stefano Banfo. The deal fits perfectly into the investment strategy of the Bluegem III fund, which is focused on stable consumer brands (consumer staples) with a strong cash generation that have demonstrated resilience during the delicate phase of Covid-19. Furthermore, this transaction confirms Bluegem’s attention to Italy, a market which we believe in and aim to accelerate the performance of some of the most promising entrepreneurial entities in the country.”
Stefano Banfo, CEO and shareholder of Pool Service, commented: “We have a long-standing business relationship with Ivano Panzeri and his team from the past several years, and we look forward to combining these highly complementary businesses which will create the third-largest Italian haircare group.”
Ivano Panzeri, founder of Panzeri Diffusion, commented: “The reasons behind this important decision for my professional career are to ensure continuity and further development for the company I founded, to be stronger in overcoming the new challenges and the growing competitiveness of the market, which is why I have chosen a group that has ambitious development plans and which will give added value to the extraordinary results achieved by my company up until now. Together, we are sharing the extraordinary synergies that could exist and the advantages that, thanks to this transaction, we can gain for global growth, a virtuous union between the two companies. The opportunity to remain in the province of Varese, both to safeguard the security of the collaborators and continue to be an economic value for Varesotto (the area surrounding the city of Varese), was an important consideration in my decision.”
Constantin Rojahn, Director of Bluegem, commented: “This represents Bluegem’s fourth investment in the beauty sector over the past three years and we are excited to further expand our presence and expertise in this field.”
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