Italy's De' Longhi to buy U.S. blender maker Capital Brands
23/11/2020 09:14
MILAN, Nov 23 (Reuters) - Italian home appliance maker De'
Longhi DLG.MI said on Monday it had agreed to buy U.S. home
appliances maker Capital Brands Holdings Inc from private equity
firm Center Lane Partners for around $420 million.
De' Longhi said the deal would make the United States its
largest market and strengthen the company in the food
preparation sector, especially in the growing healthy food
segment.
California-based domestic appliances group Capital Brands,
which is known for its Nutribullet and Magic Bullet blenders,
forecasts net revenue of around $290 million in 2020.
The closing of the deal, which values Capital Brands at just
above eight times forecast core earnings for 2020, is expected
before yearend.
De' Longhi shares were up 3.25% at 29.24 euros as of 0850
GMT.
De' Longhi Group was advised by BofA Securities, White &
Case and Ernst & Young, while Centre Lane Partners was advised
by Goldman Sachs and PJ Solomon.
(Reporting by Elisa Anzolin; editing by Jason Neely)
((elisa.anzolin@thomsonreuters.com; 0039 0266129692;))