L Capital Management and L Capital Asia, two private equity firms backed by LVHM, have acquired a minority stake in luxury footwear maker and retailer Vicini S.p.A. No financial terms were disclosed. Rothschild advised Vicini S.p.A. on the transaction while DVR Capital advised L Capital. Based in Italy, Vicini S.p.A. owns the Giuseppe Zanotti Design shoe brand.
7 April 2014 – L Capital Management and L Capital Asia, two private equity companies sponsored by the Louis Vuitton Moet Hennessy Group (LVMH), have acquired a 30% stake of Vicini S.p.A., owner of the Giuseppe Zanotti Design brand.
On a strategic standpoint, this new partnership comes from the willingness of Giuseppe Zanotti, Vicini’s Chairman and Chief Designer, to create the ideal conditions to foster the company’s future growth in the increasingly competitive global markets. In this respect, the new partners’ investment has been structured in order not to affect the company’s net financial position.
Giuseppe Zanotti is committed to continue pursuing the successful strategy of these years, without changing the dynamics of the company and maintaining the control and the current organization. The support coming from a partner like L Capital, will allow a more effective penetration of the various markets, and will unlock the great and still unexpressed potential of the Giuseppe Zanotti Design brand.
Mr. Zanotti said “During the last 20 years, our company has been constantly growing, always keeping major focus on strategic investments in production, in the creation of unmatched expertise in both creativity and handcraftsmanship, with everything strictly made in Italy. We invested in building a retail network, and a selected distribution worldwide through our direct show rooms and loyal and professional partners, as well as in communication, working hand in hands with stylist and international celebrities. In this moment, strengthening our company with a global partner represents an additional investment. One which will allow the company to get better structured, reinforce our penetration into the international markets, and keep growing. It is a great new project which make us really proud and optimist for the future”.
L Capital Management and L Capital Asia currently managed funds for a total of €2.2 billion and started to operate in the private equity market in 2001. Their investors comprise leading international financial institutions as well as private investors, with the LVMH /Groupe Arnault sponsorship.
L Capital Management is based in Paris, with offices in Milan and Madrid, whereas L Capital Asia has offices in Singapore, Shanghai, Mumbai.
L Capital Management partner, Andrea Ottaviano said “we are very excited to have the opportunity to partner with a great entrepreneur and designer like Giuseppe and with all his team. We are convinced that the GZD brand will continue to be at the forefront of the luxury shoes and accessories market in the coming years, and we are committed to work with the company to fully unlock its enormous potential”.
L Capital Asia Managing Partner, Ravi Thakran said “I was really impressed by the creativity content and 100% Italian craftsmanship of the GZD products and I believe the company’s potential for further growth in the Asian markets is exceptional. L Capital Asia will cooperate with the company providing access to its network of local contacts and potential partners in order to foster this process in the immediate future”.
With a network of more than 85 mono-brand stores worldwide, Vicini SpA achieved a record turnover of more than €115 million in the fiscal year closed in October 2013, with an impressive historical and perspective growth.
Vicini S.p.A. was advised by Rothschild, and L Capital by DVR Capital.