Meter S.p.A., based in Robassomero (TO), is a leading company in the production of custom ball bearings and rollers for special applications. Founded in 1980 by Vittorio Musso, it has grown significantly over the years, expanding through the opening of branches in the United States, China and Germany. Meter has become the global leader in the production of bearings and other mechanical components for forklifts and a main player in custom bearings for heavy duty applications, dedicated to the construction equipment, agricultural machinery, wind, hydraulic, medical and industrial sectors in general.
The company stands out for its ability to offer custom solutions, supported by sophisticated in-house design and production skills and a flexible organization oriented towards customer service, guaranteeing high barriers to entry for competitors.
Production is divided into 3 plants: in Italy (Robassomero), in China (Shanghai) and, to a lesser extent, in the USA (South Carolina). The Italian production structure is synonymous with a high level of integration, flexibility and quality. The Shanghai site provides both finished and semi-finished products for the forklift market, helping to maintain competitive prices and improving the overall competitiveness of the group’s offering.
The global manufacturing presence, which combines quality and experience at the Italian site with cost efficiency and competitiveness at the Chinese site, is one of the key factors that supports Meter’s leadership position.
The company has a well-established geographical presence in Europe, particularly in Germany, Italy and Sweden but also in the USA.
Origination
Sales process launched by the entrepreneur; beauty contest which included other financial counterparts.
Transaction Structure
In the acquisition process, IGI acquired 60% of the share capital of Meter S.p.A.; the remaining 40% is held by the Musso family, which has reinvested alongside IGI and will continue to lead the group through Vittorio, Filippo and Corrado Musso with the gradual support of top and middle management professionals.
The Transaction involved the structuring of a leveraged buyout by a vehicle organized and led by IGI with recourse to the financial package from a pool of banks and mezzanine financing.
Investment Rationale
The solid know-how and the position of technical and product leadership that the group boasts in its reference sector, thanks to the well-known quality and reliability of its products.
The important technical skills gained over many years on the market which allow the group to present itself as a partner for proposing product improvements and developing the most suitable solutions together with the customer depending on the final application.
The continuous growth in turnover achieved in recent years, driven by the constant development of new products, is the basis for further and accelerated growth.
The adoption of a strategy of overseeing the entire value chain, through the internalization of the main processes, is a crucial step to ensure maximum quality and reliability of the products. This choice also meets the needs of Meter’s major customers who require high standards and punctuality in deliveries, fostering solid and consolidated relationships with customers.
The company’s customers of primary standing are represented by world leaders operating in the field of forklifts, agricultural machinery, construction equipment and in the production of industrial machinery.
The markets served are characterized by solid and long-term trends such as the evolution of logistics, especially in developing countries, the electrification of agricultural and construction vehicles and the automation of industrial machinery.
Meter has demonstrated a strong commitment to ESG issues, developing a roadmap to achieve targets for reducing CO2 emissions and hazardous waste from the production process, in line with the Paris Agreement 2030 targets. In addition, Meter’s product itself plays an essential role in supporting the electrification of the machinery where they are installed.
Value creation strategy
Maintain global leadership in the forklift sector and increase its penetration in other sectors, with particular attention to the market niche with greater added value represented by supplies with high variance of references and low numbers, leveraging its ability to provide a high degree of customer service, structuring the Technical Department in order to enhance the know-how of the company.
Strengthening of the sales network in Europe and North America, to develop market share in dimensionally significant outlet markets.
Introduction of managerial figures to organize business areas that are currently poorly structured such as the AFC function or to strengthen functions that are already well structured, but which will be key for future growth, such as the technical department and more generally the operations area.
To exploit Meter S.p.A. as a starting point for a buy-and-build project aimed at expanding and completing the product range offered, integrating the value chain and penetrating markets where the company is less present today.
Value Realization
Exit through sale to an industrial operator or another financial operator.