CVC Capital Partners announced that the funds managed by CVC Capital Partners ("CVC") have agreed the acquisition of 100% of capital of gaming and payment services operator Sisal Group S.p.A. ("Sisal"), by the funds managed by Apax Partners, Permira and Clessidra. The operation, which is expected to be finalized by the end of September, has an enterprise value of €1 billion.
Based in Milan, the Sisal Group is a leading operator in the Italian market of legal gaming and leader in payment services industry. Established in 1946, Sisal was the first Italian company active in gaming sector as State concessionaire. Through its extensive network, consisting of 45,000 outlets, the company offers to the public more than 500 payment services. Sisal employs about 2000 people.
CVC has a well-established experience in gaming sector, thanks to its strategic investments in Sky Bet (UK), Tipico (Germany), as well as the previous investment in William Hill.
Giampiero Mazza, Partner and responsible for CVC in Italy, said: "We are very pleased to have the opportunity to invest in Sisal. It's a very diversified company, with a historic brand in Italy and strong market positions in gaming, lotteries, betting and payment services. Thanks to the support of former shareholders and under the guidance of Emilio Petrone and his management team, Sisal has been able to grow and rebuild its business limits through a period of difficult macroeconomic conditions and regulatory uncertainty. Today Sisal is ideally positioned to pursue its growth in different areas. We will support Emilio and his team to consolidate its leadership in payments industry, to continue the development in its online platforms, and to further innovate its offer in retail neighborhood."
Emilio Petrone, CEO of Sisal, added: "I would like to thank the entire CVC's Milan team for having completed an important acquisition. Sisal, which this year celebrates its seventieth anniversary, is a large Italian company that is experiencing a period of strong growth and excellent results. I am sure that, with CVC, we will build a formidable team that will give to Sisal the chance to maximize its potential, becoming even stronger and competitive. Personally, I am excited to lead this new and exciting phase of the company's history. I want to thank Apax, Permira and Clessidra for the valuable and constant support they have provided to me and to the company in recent years."
Giancarlo Aliberti, Apax Partners' partner, Roberto Biondi, Permira's partner and Simone Cucchetti, Clessidra's partner, added: "Under the control of Apax, Permira and Clessidra funds, Sisal was transformed from a company dedicated to lotteries in a conglomerate of diversified offers in payment services, online, video lottery, sports betting and lotteries. Over time, the profitability has more than doubled and the company has successfully expanded its market share in its offer segments. We are happy of the successful partnership we have established with the management team and Sisal employees, and wish them the best for the next phase of the company's growth."
Among the CVC advisors there are: Morgan Stanley M&A, Bain and ATK for commercial due diligence, PwC for financial due diligence, Latham and Watkins for legal aspects, and Facchini Rossi e Soci for fiscal aspects; the sellers were supported by Deutsche Bank, UBS, Legance, Maisto e Associati and PwC.
Morgan Stanley, Credit Suisse and UniCredit have provided debt financing to support the transaction.