#Italy #Los Angeles #Platinum Equity #Pasta Sauces #Polli

Platinum Equity Acquires Polli: Italy’s Leading Producer of Condiments

Platinum Equity has successfully acquired a majority interest in F.lli Polli S.p.A., a significant Italian name in the production of pasta sauces, vegetable preserves, and various condiments. This strategic move marks a considerable addition to Platinum Equity’s growing portfolio, signaling ambitions for further expansion in Europe and the United States.

Overview of Polli

Founded in 1872, Polli has established itself as a key player in the food industry, providing a diverse range of products, including renowned pesto sauces, olives, and pickles. The company operates four advanced manufacturing plants in Italy, sourcing from over 130 different raw materials and producing around 29,000 tons of vegetables annually. Moreover, Polli's products reach customers in more than 50 countries, contributing to the company's status as one of the largest pesto producers in the European Union.

The Acquisition Deal

While the financial specifics of the transaction have not been disclosed, the Polli family, who founded the company, retains a minority stake. CEO Marco Fraccaroli will continue to steer the company, ensuring that Polli’s core values and heritage remain intact amid the transition. Platinum Equity's Co-President, Louis Samson, emphasized the importance of respecting the longstanding family legacy during this acquisition, which represents a significant shift for the family after generations of ownership.

Strategic Growth Plans

Post-acquisition, both Samson and Managing Director Fernando Goni have articulated a shared vision for Polli's future. They aim to leverage Platinum Equity's operational expertise and resources to bolster Polli's market presence, particularly in international markets outside of Italy. The investment aligns with Platinum Equity's broader strategy of expanding its operations in the European food and beverage sector, especially over the past two decades, during which the firm has intensified its efforts in the region.

Goni underscored the alignment between Platinum Equity and the Polli family's vision, stating, "When we have a shared goal, it positioned us well to provide operational know-how and facilitate growth into new markets."

A Record of Successful Investments

Platinum Equity, founded in 1995 by Tom Gores, has successfully completed over 450 acquisitions. The firm currently manages more than $48 billion in assets with a diverse portfolio that includes various sectors, notably the food and beverage industry. Recent notable investments entail companies like Biscuit International in Paris and the Fantini Group in Italy.

Deloitte and Clearwater served as financial advisors during the Polli acquisition, while Latham & Watkins LLP handled legal counsel, with EY providing tax advisory services. This structured approach reflects Platinum's commitment to meticulous planning and execution in its investment undertakings.

Looking Ahead

With the acquisition of Polli, Platinum Equity illustrated its capability in transforming family-owned businesses into larger players within global markets. The emphasis on retaining the family’s connection to the business suggests a harmonious partnership that could lead Polli to new heights in the global food arena. As the company aims to expand its offerings and reach, shareholders and consumers alike are keenly watching how this new chapter unfolds for Polli.

In conclusion, as Platinum Equity embarks on its journey with Polli, the fusion of heritage and modern operational strategies could set a new standard in the food industry, ensuring both traditional values and innovative practices coexist harmoniously. This acquisition encapsulates not only a business transaction but also a commitment to preserving a legacy while fostering growth on a global scale.