Investcorp acquires 80% of Dainese

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Investcorp firm acquires 80% ownership of Dainese brand, Lino Dainese retains remaining 20%.

A Bahrain-based alternative investment firm called Investcorp has purchased 80% shares within famed bike protective gear maker Dainese. The firm reportedly paid €130 million in said endeavour, effectively becoming its new owners in the process.

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Dainese brand founder Lino Dainese, on the other hand, retains the brand’s remaining 20% stock. The move comes following a rumour and Lino’s confirmation that the brand was welcoming investment and acquisition offers. It appears Investcorp is the “deep-pocketed entity” the infamous devil-horned brand was seeking.

Prior to Investcorp’s involvement, Dainese founder Lino also did confirm of previous talks with another investment firm. However, said tails failed to reach an agreement, and a sale never occurred.

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Commenting on the matter, Lino stated: “It was extremely important for us to find the right partner in this time of great development. I believe that the results, global presence, and sales network of Investcorp will support the international expansion of our company, and its continuous innovation in the products it offers.”

He further added, “I am also sure that their help will allow me to focus again on what is’ my passion: the continuous research on technological innovation of our products, especially the D-Air.”

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According to Reuters, the €130 million price tag was also known as the enterprise’s value that included its debts and excluding cash held by the company. The report went on to quote an unnamed insider source that in 2013, Dainese generated €117 million in revenue and a core profit of €11 million. Investcorp was also reportedly competing with other bidders, namely rivalling investment firms called L Capital and Searchlight.

With new capital from its new owners, it appears Dainese will be on a path towards steady growth, with the hope of said financial boost for the brand’s aggressive growth plan outside of Italy. This plan also dictates for a big push for the brand into North America and other developing markets.

Source: Reuters, Asphaltandrubber, and Visordown

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