Carlyle Group is reportedly in advanced talks to transfer control of Italian protective gear maker Dainese to private credit lenders HPS Investment Partners and Arcmont Asset Management, as the firm seeks to address mounting losses at the business.

The deal, according to Bloomberg, would be among the first lender-led takeovers in Italy’s growing private credit landscape. Carlyle acquired Dainese in 2022 through a €285m debt-financed transaction, backed by privately placed loans from the two credit firms. The company has since struggled financially, recently deferring an interest payment as discussions intensified.

Dainese is currently pursuing a recapitalisation to bolster its balance sheet. A company spokesperson confirmed the initiative, noting it would not affect day-to-day operations or stakeholders.

If completed, the transfer would represent a high-profile case of creditors stepping in to assume control of a private equity-backed asset. It also follows Carlyle’s earlier exit from End Clothing, where ownership shifted to Apollo Global Management after a period of financial distress.

The potential deal highlights the evolving role of direct lenders in Italy’s dealmaking environment and points to increased scrutiny on the performance of consumer portfolio companies. Carlyle, HPS, and Arcmont have not issued public statements regarding the talks.

Source: Bloomberg

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