Private equity firm CVC Capital Partners has acquired Pasubio, which provides leather for the interiors of premium and luxury cars.
The business carries out the whole production process from selecting the raw hides to tanning, finishing and crafting them.
Its clients include Jaguar Land Rover Group; Volkswagen Group, which owns Porsche, Lamborghini, Bentley and Skoda; FCA Group, which owns Maserati and Alfa Romeo; BMW and PSA.
The business is being acquired by CVC’s Fund VI from the Pretto family, which started the business in 1955. Three generations of the family have since worked in the business, which is based in the famous Arzignano tanning district.
The Pretto family will retain a minority shareholding in the company and Luca and Alberto Pretto will continue in their current roles with the existing management team.
Giorgio De Palma, senior managing director at CVC Capital Partners, said: "We are very pleased to have the opportunity to invest in Pasubio, with its stellar client base and excellent product offering. Working closely with the founders, Luca and Alberto, as well as their team, the CVC Italian office, led by Giampiero Mazza, and the whole CVC network look forward to helping Pasubio achieve its ambitious long-term growth plan, exploiting new opportunities in Asia, the US and beyond."
Alberto and Luca Pretto said: "We are very proud of Pasubio's successes to date, but now is the time for us to partner with a firm that will support our strategy to enhance the services and products we offer to our existing premium clients and to grow internationally. We believe there are many untapped markets for us to explore, and CVC's sector expertise and global network will be invaluable to us as we enter our next phase of growth."