Trifast plc Acquires Leading Italian Fastener Manufacturer & Distributor
Acquisition of Viterie Italia Centrale Srl will enhance offering and European footprint
Trifast plc, the parent company of TR Fastenings, is delighted to announce it has acquired Viterie Italia Centrale Srl (VIC), a leading Italian manufacturer and distributor of fastening systems, for £22.5m. The acquisition will form a key additional part of Trifast's future expansion by providing an additional manufacturing facility in Europe to complement the Group's existing resources in Asia.
An essential part of Trifast’s management growth strategy is to identify and selectively acquire profitable businesses, and Executive Chairman Malcolm Diamond comments: "This acquisition represents an excellent strategic fit for Trifast; VIC operates as a manufacturer of highly engineered parts mainly to the domestic appliance industry plus early development into automotive lighting components; this capability will enable its trading arm, TR Fastenings, to offer a wider range of threaded fasteners manufactured within the enlarged Group's facilities to these industry sectors, which we consider to be strategic for TR's global aspirations."
"VIC has a young, experienced and motivated management team, led by Carlo Perini. Their focus and continued improvement on customisation has allowed the business not only to keep up with output markets' technological development, but also to often act as an innovator, reinforcing its competitive positioning."
Carlo Perini, who will remain with the business as Managing Director of VIC, comments: “The culture and ethos of the Trifast group of companies is very similar to our own and this step offers both companies an exciting opportunity to develop, exploiting the skills and leadership qualities of both VIC and TR.”
Viterie Italia Centrale Srl (“VIC”) joins international fastenings business Trifast, extending its offering, skills and European footprint
Friday, 30 May 2014: VIC became part of the international fastenings business, Trifast plc (Trifast or TR).
VIC (www.vic.it) was established in 1964 by the Perini family in Fabriano, central Italy and initially specialised in the design, production and distribution of customised self-tapping and thread-forming screws. Since then, it has grown rapidly through integration and diversification of its product range. Today, VIC predominantly manufactures and distributes fastening systems for the white goods industry. This market presents high entry barriers due to the strong loyalty of customers who require tailor-made solutions and a highly efficient logistics service. With 50 years of tradition, VIC has established long-standing relationships with its customers and these include the European leading manufacturers of white goods - Indesit, Whirlpool, Electrolux, Elica and BSH Bosch and Siemens.
VIC represents an excellent strategic fit for TR – it is known as a manufacturer of highly engineered parts- it will add further technical expertise to TR particularly in white goods components as well as skills which ‘extend’ the expertise and ‘add value’ to the current TR offering. VIC will also be able to market its ‘specialism and technical expertise’ to manufacturers in Asia and the United States. VIC is also a key addition to Trifast’s future expansion plans – it brings a competitive manufacturing facility in Europe to complement the Group’s existing resources in Asia. Its capabilities sees TR now offering a wider range of manufactured threaded fasteners, this objective is considered to be strategic driver for the global aspirations of the Trifast group
On a day to day basis, it is ‘business as usual’: VIC will remain self-managing and operate on a standalone basis without the need for any synergies. Commenting on the news Carlo Perini, MD at VIC said: “We are delighted to be joining the TR group – they have been known to us for many years – our strategy is very much aligned to theirs and our business is complementary to the current TR model, therefore it is a strong cultural fit and a key requirement if we were to join forces with any business. Having carefully selected TR, we believe that we have a very exciting future together, for example, through the cross-selling opportunities and by rolling-out our successful business model further in Europe and into Asia and the United States.”
“More importantly and a key factor in VIC joining this successful group is what this business is about:-TR’s traditional values and unique culture, its customer focus, and high levels of service, delivering quality product through dedicated teams who have a genuine caring attitude to being the ‘best in industry’ not just in words but in action – all of tis this offers all of us an exciting opportunity to develop, exploiting the teams’ skills and leadership qualities at both VIC and TR.”
Executive Chairman of Trifast plc, Malcolm Diamond MBE added: “We are delighted to add this very successful business to the Trifast portfolio. VIC has a young, experienced and motivated management team, led by Carlo Perini. Their focus and continued improvement on customisation has allowed the business not only to keep up with output markets’ technological development, but also to often act as an innovator, reinforcing its competitive positioning.
VIC is also complementary to the Group’s business model and significantly strengthens our presence in the domestic appliance market whilst also offering TR additional opportunities in existing electronic and automotive tier 1 markets. We look forward to working with them and building further on TR’s position within the European market and utilising their technical skills within our Asian and US presence too.” “This partnership is consistent with Trifast’s strategy to grow by acquisition whilst capitalising on investment and organic growth opportunities. There is also a significant opportunity to grow the combined businesses by selectively investing in new facilities, plant and machinery.”
The transaction consideration was by way of cash and shares. VIC was advised by Ernst & Young Financial - Business Advisers S.p.A (EY), and Legal Advisers, Gattai, Minoli & Partners, both based in Milano, Italia.
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