Browsing by Author "Boi, Leonardo"
Now showing 1 - 1 of 1
Results Per Page
Sort Options
- The art of Italian craftsmanship : Campari to acquire LuxardoPublication . Boi, Leonardo; Assunção, António Borges deThis dissertation analyses the proposed acquisition of Privilegiata Fabbrica Maraschino “Excelsior” Girolamo Luxardo S.p.A. by Davide Campari-Milano N.V on a cash-free, debt-free basis. Luxardo, one of the oldest and still operating family-owned businesses producing liqueurs and distillates, represents a perfect fit for Campari’s Regional Priorities portfolio, which includes brands with limited scale but outstanding potential for expansion in the domestic market and abroad. Furthermore, the acquisition aligns with Campari’s premiumization pathway and its external growth strategy focused particularly on spirits, seeking local and identity specialty brands in markets where it has direct distribution. This study examines the M&A process of the proposed transaction from a holistic perspective, starting with the industry and market analysis, the identification of the ideal target, and the strategic rationale supporting the acquisition. It then includes a preliminary valuation through selected intrinsic and relative methodologies, and the examination of the preferred form of consideration, concluding with the assessment of shareholder value creation. This analysis highlights the potential value creation from the proposed transaction, primarily driven by revenue synergies and Campari’s proven A&P and distribution capabilities. The preliminary purchase price is set at €177.5 million, subject to confirmation following an extensive due diligence, implying a 39.2% premium to Luxardo’s fair value based on intrinsic valuation. The preferred payment structure includes a mix of stock and cash with a floating collar structure, along with a deferred portion of the consideration structured through an earn-out component.