Carlyle buys Italian sportswear for €220m

The Washington DC-based private equity firm has purchased a minority stake in Italian luxury sportswear group, Moncler. The deal means a partial exit for three Italian investment firms from the company that owns brands such as Moncler, Henry Cotton and Coast, Weber & Ahaus.

Global private equity firm The Carlyle Group has agreed to acquire a 48 percent stake in Moncler Group, an Italian manufacturer of high-end sportswear brands. Financial details were not disclosed, though a source close to the deal pegged the transaction at €220 million ($340 million).

Moncler Group’s stable of brands includes Henry Cotton, Marina Yachting and Coast, Weber & Ahaus and Moncler itself, which is famous for its goose down winter jacket.

A 1950s
Moncler Advert

The transaction will see the partial exit from the Moncler Group of Mittel Private Equity, part of the Milan-listed Mittel investment group; Progressio, a Milanese private equity firm; and ISA, an investment collective comprising, among other organisations, the Catholic Church.

The three shareholders held a total of 61 percent of the company and will retain 13.5 percent, post-transaction.

Remo Ruffini, who has headed the Moncler Group since 2003, will continue to run the company and retain his 38 percent shareholding following the deal’s completion, which is expected before the end of 2008.

The investment in Moncler was made through Carlyle’s third European buyout fund Carlyle Europe Partners III, a €5.35 billion fund which closed in 2007. 

Other investments from the fund include the UK-based Cash Systems, a designer and manufacturer of components used in ATMs, which Carlyle snapped up in June for £360 million.