Bracchi is a leading player in the European Transport & Logistics industry, focused on profitable niches such as elevators & escalators and agricultural machinery transportation.
Based in Fara Gera d’Adda, the company offers a full range of services, including transportation, logistics and warehousing. It operates through 3 subsidiaries (Poland, Germany and Slovakia) with over 160 employees.

Origination
Sale auction launched by a financial sponsor

Transaction Structure
IGI, SI2 S.p.A. and Siparex Sigefi acquired Bracchi through a newco in an LBO transaction led by IGI and with the reinvestment of the management team
IGI invested approximately €13.3 million through the funds IGI Investimenti Cinque (€10.3 million) and IGI Investimenti Cinque Parallel (€3 million)

Investment Rationale
Leading market position in Europe in a profitable niche
All-inclusive service: high integration between operating, logistic and IT systems.
Light capital business model and strong cash flow generation
Experienced management team
Support in strategic decision process for diversification in new targeted markets
Scope for production capacity increase through the lease of additional warehouses and refurbishment of the existing ones

Value Creation Strategy
Appointment of a new qualified CFO, Controller, HR and IT managers
Support in the M&A targeting activity and in the analysis of the potential add-on targets
Upgrading of the internal reporting system to IGI standards

Value Realisation
Exit through trade sale or secondary buyout in 2020