Pasubio ends momentous week with new owners
Specialist automotive leather manufacturer Pasubio had one of the most tumultuous weeks in its 60-year history in mid-June.
The Arzignano-based group has confirmed the acquisition of Hewa Leder, a Bavaria-based producer of leather for the interiors of high-end cars and yachts, on June 15.
Italian business news agency Radiocor quoted Pasubio chief executive, Luca Pretto, as saying the move would further strengthen the company’s “leadership in the most prestigious segment of the automotive leather market”.
He explained that, while Pasubio was well established with some of the brands in the BMW Group, its acquisition of Hewa Leder would allow it to supply leather to Rolls-Royce Motors too.
Just as the industry was digesting this news, a new announcement came that Pasubio itself is to be acquired by PAI Partners, an independent private equity firm with roots in Paris-based banking groups BNP and Paribas. PAI confirmed on June 23 that it had agreed to acquire Pasubio from investment group CVC Capital Partners. It did not disclose the financial details of the transaction.
PAI partner and head of its business in Italy, Simone Cavalieri, said on confirming the deal: “We are delighted to invest in Pasubio. The company has a fantastic reputation in its field and is a key European player with significant global potential. We look forward to partnering with [founders] the Pretto family to support their exciting growth plans.”
For his part, Luca Pretto, added: “We have very much enjoyed our journey with CVC, and we would like to thank them for all their support in helping us transform under their ownership. Over the last few years, we have further professionalised our operations and processes, through a combination of new skills and automation, as well as built-up an unrivalled track record of quality and service for our clients around the world. We are very excited to be partnering with PAI and to benefit from their strong experience going forward, as we look to further grow our position as a global and diversified market leader, both organically and through acquisitions.”
Giorgio De Palma, Partner at CVC, commented: “We are very proud of the successful transition of Pasubio from a high-quality family company into a strong industry leader. We thank Luca Pretto and the rest of the management team for their immeasurable contribution to what has been a highly successful partnership over the past years, and we wish them every success in their next phase of growth.”
The transaction, which is subject to customary closing conditions, is expected to close in October 2021.
Pasubio employs approximately 1,000 people and operates six facilities in Europe and North America, where it performs tanning, post-tanning and cutting activities. The company also has a dedicated research and development centre in Arzignano. As well as the BMW Group, its list of key clients includes Porsche, Bentley, JLR, VW, Lamborghini and Maserati.
