Alto Capital IV, a private equity fund managed by Alto Partners, has sold its portfolio company Tricobiotos to Alfa Parf Group (Alfaparf), an Italian specialist in the professional hair care market.
This is the third exit for Alto Capital IV after OFI (nutraceuticals, sold to Farmaceutici Procemsa in December 2020) and CEI Group (heavy trucks spare parts, sold to White Bridge Investments in June 2022). The average gross IRR for the first three exits is over 40% with a Fund DPI ratio of 73%.
In July 2022 the fund also signed binding agreements to sell portfolio company Bia (cous cous production and distribution) to BF Group (Bonifiche Ferraresi), the largest agricultural group in Italy. The closing of the transaction (fourth exit for the Fund) is expected to take place by mid-October 2022.
Tricobiotos was acquired by Alto Capital IV in July 2017, with the Fund taking a majority stake from the founders Marco and Mara Bucaioni. During the holding period, the Fund supported the growth of the company with a specific attention to foreign markets, product innovation and sustainability. In 2021 Tricobiotos posted total sales in excess of EUR26 million with an EBITDA margin of 20%. In H1 2022 company revenues reached EUR14 million, with an 18% growth over H1 2021.
