June 2007

Eidos Partners is pleased to announce the IPO of Landi Renzo S.p.A., the world’s leading producer of environmentally friendly gaseous fuel systems for motor vehicles, on the STAR segment of the Italian Stock Exchange. Eidos Partners acted as financial advisor to Landi Renzo, Mediobanca and Citi acted as Joint Global Coordinators.

The IPO encountered very significant investor demand. The institutional offer (which included an offering in the United States under Rule 144A) was over 9 times subscribed, the retail offer over 8 times subscribed.

The offering, priced at Euro 4.0 per share, involved a placing of Euro 184 million and valued the company at Euro 450 million. The implied valuation multiples were 10.8x and 19.1x 2007 estimated EBITDA and net earnings, respectively (*).

With its track-record of acting as financial advisor on 5 IPOs over the last 24 months, Eidos Partners consolidates its position as a leading independent financial advisor in the Italian equity capital markets.


(*) Based on analysts’ consensus (on a pre-money basis).

 

Landi Renzo (www.landi.it), with a market share of about 23% and over 50-years experience in the sector, is the world’s leader for LPG and CNG fuel systems and components for motor vehicles. The company, headquartered in Cavriago (Reggio Emilia), is characterized by the sustained growth of its revenues which exceeded 40% in each of the past three years, its flexible and lean business model based on the outsourcing of production processes, the extent of its international operations, with a presence in over 50 countries and exports accounting for 74.3% of 2006 consolidated turnover, and its constant focus on quality certifications and research and development.

Eidos Partners (www.eidospartners.com) is an independent investment bank focused on the design, definition and realization of mergers, acquisitions and disposals of companies, on quotations on the stock exchange and on corporate financial restructurings.  Eidos Partners’ mission is to provide the highest-quality financial and strategic advice to Italian companies and to other international companies and entities operating in Italy. Eidos Partners enjoys outstanding access to companies and investors throughout the world as a result of its relationship with the Close Brothers Group.

 


Transaction Type
IPO

Deal Size
Euro 184 million

Industry
Advanced
Manufacturing

 

Stefano Bellavita
Partner
Tel. +39 02 8597 9237
stefano.bellavita@eidospartners.com

Marco Savini
Associate Partner
Tel. +39 02 8597 9266
marco.savini@eidospartners.com

Andrea Foti

Associate Partner
Tel. +39 02 8597 9277
andrea.foti@eidospartners.com

Silvia Allegri
Analyst
Tel. +39 02 8597 9228
silvia.allegri@eidospartners.com

Luigi Cutugno

Analyst
Tel. +39 02 8597 9229
luigi.cutugno@eidospartners.com