Clessidra launches €600m fourth fund to back ‘Italian champions’

The strategy, which will underwrite tickets between €40m and €100m, succeeds Clessidra Capital Partners III, closed in 2017 at €607m. The fund is now almost 80% deployed, Ottaviano said, adding that he is currently finalising the vehicle’s final deal. The transaction – the acquisition of an Italian winery – will be announced next month.

The deal is set to follow a buy-and-build strategy that will see Clessidra picking Italian wine makers to create a €400m to €500m turnover wine platform, focused on meeting growing demand from international markets.

“This sector has grown substantially over the years, but the pandemic has made it clear that international markets have specific requirements for counterparties. Our idea is to create an Italian champion with a premium offer to be the best counterparty for these clients outside of Italy,” Ottaviano said.

The executive, who joined Clessidra last year from L Catterton with the ambition of turning the firm into the main Italian player in private equity, may have some hurdles on the way.
One of the potential buyouts would be a majority stake in wine producer Casa Vinicola Botter, which Clessidra has been working on since the beginning of this year.

The operation has not yet been concluded due to legal disputes involving one of the company’s suppliers, PEN understands. Meanwhile, Italian news outlet The Insiderreported the firm is also in talks with winery Femar Vini.

Ottaviano declined to name the companies considered for a takeover.

Over the next few years, Clessidra plans to conclude three or four acquisitions of medium to large-sized Italian companies per year through the new fund.

Its first close is expected to the second half of 2021. Commitments are likely to come mostly from existing investors who trust the firm’s track record – as attracting new LPs with all the travel restrictions imposed by the pandemic has not been easy for any firm, Ottaviano noted.

At the moment, Clessidra has six companies in its portfolio, including Nexi, the Italian payments group, which recently made headlines for its merger with fintech rival SIA for about €4.6bn.

Last week, Nexi struck its second deal, agreeing a €7.8bn merger with Hellman & Friedman-backed Nets Group to create a European payments giant in the fast-consolidating industry.

Clessidra has raised over €2.5bn of capital since its inception, in 2003. The firm has executed 23 investments for a total of €1.9bn. Over the same period, the firm concluded 26 add-on operations for the companies in its portfolio and 20 exits.

Source: Private Equity News