Blumen is the Italian market leader in the development, production and distribution of seeds for hobbyist, semi-professional and professional use, fertilizers and garden products
The company is headquartered in Piacenza and has operating sites in Latina and Bologna

Origination
IGI’s consolidated relationships within the Italian business community and wide network of M&A advisors

Transaction Structure
IGI and IMI Fondi Chiusi acquired Blumen through a newco in an LBO led by the current CEO Roberto Tencani
The fund IGI Investimenti Quattro invested €12.6 million in a direct stake of 75.8% in the company and €0.8 million in underwriting a shareholder loan

Investment Rationale
Leading market position and well-known brand for quality products
Resilient market supported by long-term industry trends
Strong presence in all Italian distribution channels
Highly profitable business (premium price)
Qualified and experienced management team
Ideal distribution platform for scale-up in the home & garden market, especially in the hobbyist segment
High potential strategic growth opportunities

Value Creation Strategy
Expansion of the existing product portfolio, particularly through R&D of products for the semi-professional and professional end markets
Expansion into new foreign markets through the hiring of dedicated export managers and set up of new branches (opening of 2 branches in Turkey and the UK)
Acquisition of three brands (Fito, DueCi and GetOff) from the Henkel Group completed in 2015, and one further add-on competed in Switzerland in December 2017 (Samen Mauser)

Value Realization
Exit through trade sale or secondary buyout in 2018.