Aimia to buy Giovanni Bozzetto from Chequers, other investors

• The purchase price will be based on an enterprise value of about C$328 million
• Paladin Private Equity will act as Aimia’s partner in the deal
• Post the completion of the deal, Aimia and Paladin will enter into agreements, including an option for Paladin to buy up to a 19.9% minority interest in Giovanni Bozzetto

Aimia, a Montreal-based investment holding company, has agreed to acquire Giovanni Bozzetto, a Filago, Italy-based maker and distributor of chemicals additives used in the textile industry, construction materials and other sectors.

The sellers are Chequers Capital and other minority shareholders. The purchase price will be based on an enterprise value of about C$328 million.

Paladin Private Equity will act as Aimia’s partner in the deal, expected to close before the end of the second quarter of 2023.

Bozzetto’s executive management team will reinvest a material portion of their net proceeds from the sale, a minority position of up to 6 percent.

Phil Mittleman, CEO of Aimia, said in a statement: “Bozzetto represents an outstanding opportunity for Aimia to invest in an ESG-focused, global market leader. Over the past 18 months, the specialty chemicals industry has endured one of the most difficult periods in its history—including a spike in raw material prices, Covid-induced supply chain shortages and rapidly rising energy prices. Despite these challenges, Bozzetto remained resilient and maintained its strong growth and free cash flow profile. We see significant opportunities to continue to grow this business both organically and through accretive acquisitions, and we are in advanced discussions with several potential targets.”

Post the completion of the deal, Aimia and Paladin will enter into agreements, including an option for Paladin to buy up to a 19.9 percent minority interest in Bozzetto within a year of closing. Paladin’s Tariq Osman and Eric Hauser will join the company’s board of directors.

Aimia is a holding company with a focus on making long-term investments in public and private companies, on a global basis, through controlling or minority stakes. Paladin Private Equity is a US private equity firm that invests in the industrial technology sector.

Headquartered in Paris, Chequers Capital is a mid-market private equity firm focused on B2B sectors.

Aimia and Paladin were advised by Latham & Watkins.