Carlyle launches sale of Italian food ingredient maker Irca


US private equity firm Carlyle Group has asked investors to submit bids for Irca as part of a deal valuing the Italian food ingredients maker at more than €1 billion, two sources close to the firm said. case.

Carlyle, which owns 97% of the northwest Milan-based group, has sent initial teasers to investors and expects non-binding offers to be presented in the first half of April, the sources said.

Carlyle and Irca declined to comment.

“Deal concluded by the end of June”

BNP Paribas and Rothschild are advising Carlyle on the sale, which one of the sources said is expected to close by the end of June.

Irca, which makes ingredients for the food industry including pastry, bakery and ice cream retail, is expected to generate a double-digit multiple to core earnings, one of the sources said.

Irca’s revenue in 2021 exceeded 365 million euros, chief executive Paolo Perego told Reuters.

In 2017, Carlyle bought an 80% stake in Irca from European private equity fund Ardian and the company’s founding family Nobili.

Irca, founded in 1919, recently announced the acquisition of In2Food, an American distributor, as well as the unveiling of two new creative production lines. In 2018, she acquired the chocolate decoration brand Dobla.

In February, announcing its fourth quarter and full year results, Carlyle Group CEO Kewsong Lee praised “the company’s momentum and our continued progress, [which] has resulted in a new level of earnings power that illustrates the long-term growth trajectory of our expanding and diversifying global platform. »

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