Bluegem Capital Partners, the consumer brands investment company, has acquired Italian beauty brand owner Panzeri Diffusion as it works towards strengthening its business in the professional hair care sector.
Founded in 1999, today Panzeri offers a portfolio of professional hair care brands including z.one concept, milk_shake, no inhibition, simply zen, depot and Urban Tribe.
Through the acquisition, Bluegem hopes to leverage Panzeri's strong presence in foreign markets, particularly in the US, where it generated revenue of €49m in 2019 and today employs more than 130 people.
Emilio Di Spiezio Sardo, co-founder of Bluegem Capital Partners, described the move as “transformative” and added: “The deal fits perfectly into the investment strategy of the Bluegem III fund, which is focused on stable consumer brands with a strong cash generation that have demonstrated resilience during the delicate phase of Covid-19.
“Furthermore, this transaction confirms Bluegem's attention to Italy, a market which we believe in and aim to accelerate the performance of some of the most promising entrepreneurial entities in the country.”
The acquisition will take place through Bluegem subsidiary Pool Service, and will see the two companies merge to create a new entity called BeautyNova, set to become the third largest hair care group in Italy with a value of around €130m.
Meanwhile, Ivano Panzeri, founder of Panzeri Diffusion, said that Bluegem's “ambitious development plans” deal would help the company “be stronger in overcoming the new challenges and the growing competitiveness of the market”.
He added: “Together, we are sharing the extraordinary synergies that could exist and the advantages that, thanks to this transaction, we can gain for global growth, a virtuous union between the two companies.”
The deal is the latest in Bluegem's beauty investment spree, which has seen the company invest in four brands over the last three years including make-up brand ICONIC London and German skin care specialist QMS Medicosmetics.
Meanwhile, Bluegem also previously owned a majority stake in high end department store Liberty London, which it sold last year to rival company Glendower Capital.
