Pasta Maker Divella Seeking To Sell 30% Stake To A Strategic Partner
The owners of Italian pasta maker Divella are said to be considering the sale of a 30% stake in the company to a strategic partner who will help the group to expand abroad, the group's co-chief executive Vincenzo Divella has said.
Producers in mature markets, such as Italy, are particularly keen on strengthening their position in countries with low pasta consumption to benefit from expected future growth. The sector enjoyed a rise in global demand last year as lockdowns induced by the pandemic pushed consumers to cook more at home.
Divella, who is also a shareholder, told Reuters that the group controlled by his family plans to hire advisory firm Vitale & Co to find a strategic partner.
"The Italian market is at a standstill, we need to work more abroad... for this reason we are willing to consider a strategic partnership with someone able to help sell our products in America and China", Divella said.
He added that the owners were planning to sell "initially" a 30% stake in the group.
Italy's third-biggest pasta maker, which is based in the southern region of Puglia, reported revenue of more than €300 million last year, 35% of it abroad.
Private Equity Interest
Private equity firms and industrial players such as Italian food group Newlat could be interested in Divella, a source close to the matter said. However the sale of a minority stake could be less appealing than a majority one, he added.
The sector, which is grappling with a rise in the prices of raw materials, has recently attracted the interest of private equity firms.
At the end of July Spain's pasta maker Ebro Foods agreed to sell parts of its France-based Panzani unit to buyout fund CVC in a transaction valued at €550 million.
Italy is the biggest consumer of pasta worldwide, with around 23 kgs of pasta consumed per capita every year, according to an International Pasta Organisation report.