NiXEN sells its stake in Well
NiXEN sells its stake in Well, France’s second-largest manufacturer of hosiery (stockings and tights), to the Italian family-owned group, CSP International, Europe’s number-three hosiery maker, listed on the Milan stock exchange
As the main shareholder in Well since May 2001, NiXEN has supported the company over the past nine years, helping it to improve its competitiveness and long-term viability in a challenging market by refocusing on its strategic businesses and reorganising its manufacturing operations.
Today, backed by its strong brand and prominent position in the hosiery market, Textiles Well has managed to strengthen its foothold in its core business by developing innovative, high value-added products while continuing to diversify into the lingerie sector. Well posted sales of around €50 M in 2009 and employs 280 people.
Following a successful track record, NiXEN decided, in consultation with Well’s management, to endorse the company’s takeover by CSP International, whose bid was backed by a highly attractive industrial and strategic business plan for Well.
“CSP’s bid builds on the efforts made in recent years to restore the company’s competitiveness and strengthen its market positions. It conveys a genuine medium-term vision for Well,” said Jean-Paul Bernardini, Chairman of NiXEN.
“This takeover plan aims to help Well consolidate its market positions and continue enhancing its brand, while opening up international opportunities for the company,” explained Eric Pinot, Well’s Chairman. As a result of this deal, the CSP Group now ranks second in Europe.
The transaction was based on an Enterprise Value of €16 million, enabling NiXEN to achieve an exit multiple of 2.8x its initial investment.