Case Study: Sale of a Plastic Extrusion Manufacturer

CIGP successfully advised the shareholders on their exit strategy, by engaging in a sale to an Italian PE Firm. CIGPleveraged its expertise in financial advisory and its strong connections with financial and strategic investors.

Transaction Highlights

  • CIGP acted as the exclusive sell-side financial advisor to the shareholders of a leading Italian plastic processing group, on the sale of a 75% stake in its plastic extrusion business, to an Italian private equity firm focused on middle market transactions.

  • The Company is an Italian specialist manufacturer of polymer pipes and coils for fuel lines, airbrakes, and cooling systems for major Tier-1 suppliers to the automotive and industrial sectors
  • As part of the shareholders’ exit plan, CIGP structured a majority stake sale combined with an earn-out to optimally realize the shareholders’ stakes in the business.

Role of CIGP

  • Global Execution Process: CIGP conducted a comprehensive search across the automotive component space globally. The selective process allowed CIGP to be positioned in a favorable position to build a compelling case around the Company and negotiate for a higher valuation.

  • Industry Connections and Expertise: Leveraging CIGP’s understanding and connections in the automotive sector as well as relationships with financial sponsors, the target attracted strong interests from several key acquirers.

  • With CIGP’s extensive and personalized approach, the shareholders’ objective and preferred strategies were clearly understood, allowing for CIGP to lay down a feasible strategic action plan.