Sale of a Plastic Extrusion Manufacturer

CIGP successfully advised the shareholders on their exit strategy, by engaging in a sale to an Italian private equity firm. CIGP leveraged 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 target 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 realise 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 favourable 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 personalised approach, the shareholders’ objective and preferred strategies were clearly understood, allowing for CIGP to lay down a feasible strategic action plan.