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Aimia (TSX:AIM) acquiring Bozzetto Group for $328M

Caroline Egan , The Market Herald Canada
0 Comments| March 6, 2023

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  • Aimia (AIM) has agreed to acquire Giovanni Bozzetto for $328 million from Chequers Capital and other minority shareholders
  • This acquisition will be financed using a combination of Aimia’s cash and debt, with an expected level of debt of around $135 million
  • The transaction is expected to close by the end of quarter two
  • Aimia stated that it will look to expand Bozzetto’s chemical manufacturing footprint in the Americas and Asia through further acquisitions
  • Aimia (AIM) is down 1.44 per cent, trading at $4.10 per share as of 1:23 p.m. EST

Industrial holdings company, Aimia (AIM), has agreed to acquire Giovanni Bozzetto for $328 million from Chequers Capital and other minority shareholders.

The company expects this acquisition to be financed using a combination of its cash and debt, with an expected level of debt of around $135 million.

The transaction is still subject to regulatory approval and other customary closing conditions, and is expected to happen by the end of the second quarter. The executive management team of Bozzetto will reinvest a material portion of their net proceeds from the sale for a minority position of up to 6.00 per cent.

Acquisition prompts further agreements

Paladin Private Equity will act as Aimia’s partner on the transaction. As a result, Aimia and Paladin shared they will sign certain agreements for Aimia to have a preferred return, certain carry-related rights to benefit Paladin, and an option for Paladin to acquire up to a 19.90 per cent interest in Bozzetto. Also, Tariq Osman and Eric Hauser of Paladin will join Bozzetto’s board of directors.

Italy-based Bozzetto is an Environment, Social, and Governance (ESG) practice-focused provider of specialty chemicals. It manufactures over 2,000 chemicals to service its textile, water solutions, and dispersion end markets. Last year, Bozzetto had an annual revenue of approximately $326 million and an adjusted EBITDA of $47 million.

Bozzetto has six manufacturing facilities, with over 1,500 customers in more than 90 countries. Aimia stated that it will look to expand Bozzetto’s Americas and Asia footprints through further acquisitions.

Aimia (AIM) is down 1.44 per cent, trading at $4.10 per share as of 1:23 p.m. EST.




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