Bufab has acquired VITAL SpA, an Italian distributor of C-parts with net sales of €48 million in 2023, headquartered in Milan, with two additional branch offices.
VITAL has been family owned since its foundation in 1975 and is today run by the founders' sons, who will continue to manage the business. Its customers are primarily located in Italy from a variety of industries including electrical, machinery, rail and construction. In recent years, VITAL has achieved excellent growth and profit, with 57 employees and net sales of €48 million in 2023 and an operating profit margin above Bufab’s 2026 profitability target.
The purchase price paid upon closing of the transaction amounts to €31.9 million on a cash-free/debt-free basis. In addition, a deferred purchase price of circa €11 million will be paid in two instalments in 2025 and 2026. Finally, a performance based additional payment (earn-out) of a maximum €11.2 million may occur in 2025, 2026, 2027 and 2028 conditional on improved operating profit. The acquisition will be financed by Bufab's existing credit facility.
“I am very happy to announce this acquisition, as we see VITAL as a great opportunity to build up our Italian footprint and increase our service level to the customers we are currently supporting there. It is a stepping stone of a suitable size with a great reputation that in the future can be used as a platform for add-on acquisitions and drive market consolidation in a highly fragmented market. Furthermore, we see that Bufab and VITAL complement each other and we will deepen our presence in Italy and southern Europe by learning from the VITAL team with great and long experience in the region,” says Erik Lundén, President and CEO at Bufab.
“Over the past two years, we have gotten to know Bufab very well and are pleased to have found a partner in Bufab that is a perfect fit for us. This deal comes at a good time in VITAL’s development and will enable us to accelerate our growth journey. We are pleased that we, the previous owners, can continue as managers, and together with the whole VITAL family we look forward to the cooperation with Bufab,” highlights VITAL previous owners Daniele Pesce, Stefano Pesce and Luca Bernasconi.
Having spent a decade in the fastener industry experiencing every facet – from steel mills, fastener manufacturers, wholesalers, distributors, as well as machinery builders and plating + coating companies, Claire has developed an in-depth knowledge of all things fasteners.
Alongside visiting numerous companies, exhibitions and conferences around the world, Claire has also interviewed high profile figures – focusing on key topics impacting the sector and making sure readers stay up to date with the latest developments within the industry.
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