Italian food group Newlat on track for IPO to fund acquisitions
13/05/2019 16:10
By Francesca Landini and Elisa Anzolin
MILAN, May 13 (Reuters) - Italian food group Newlat is
gearing up to list on the Milan bourse later this year in a move
aimed at raising around 200 million euros ($225 million) for
acquisitions, Newlat's chairman said on Monday.
The group, which already owns a diversified portfolio of
businesses including dairy brand Polenghi Lombardo and pasta
label Birkel, has set its sight on several targets in Italy and
outside, chairman and owner Angelo Mastrolia said.
To beef up its war chest, Mastrolia, who owns the group
through a holding company based in Lugano, is ready to loosen
his grip, he said.
"We plan to sell only new shares in the IPO," Mastrolia told
Reuters in a phone interview.
He said the company was aiming for a market capitalisation
of around 450-500 million euros.
"Under our plans, the listing will take place in autumn and
the free float will be around 46 percent", he said.
Italy's food and beverage industry is a key driver for
economic growth but represents just 2 percent of the overall
capitalisation of the Milan stock exchange.
Newlat has picked Equita EQUI.MI , Societe Generale
SOGN.PA and HSBC HSBA.L as global coordinators for its IPO,
Mastrolia said.
In 2018 the company, with net cash of 20 million euros,
posted revenues of around 330 million euros and core earnings 22
million euros, Mastrolia said.
The company, based in Italy's northern town of Reggio
Emilia, has made a string of acquisitions in recent years,
buying plants and brands from large multinational groups.
Newlat bought Polenghi Lombardo from Italian dairy group
Parmalat in 2009 and one of the plants of baby food brand
Plasmon from Kraft Heinz KHC.O in 2015.
Last month it snapped up Delverde pasta brand from
Argentina's Molinos Rio de la Plata MOLI.BA . urn:newsml:reuters.com:*:nS8N21K033
($1 = 0.8891 euros)
(Reporting by Francesca Landini and Elisa Anzolin; Editing by
Mark Potter)