Ovs renounce the purchase of Coin, the 37-store chain led by Stephen Beraldo which had been spun off to be listed on the Stock Exchange in 2015. Thus, the attempt by Beraldo and Giovanni Tamburi's Tip fund to recreate a distribution structure that would have rebuilt at the origins.
“The two sides agreed to finish the negotiations” announced Ovs in a note that also provided i preliminary accounts of 2022 with net sales consolidated revenues that exceeded 1,5 billion euros, up 11% compared to 2021. “The strong nine-month sales trend continued in the fourth quarter, including Christmas and the most important period of winter sales, with revenues consolidated net income of 420 million, up 11% compared to the fourth quarter of 2021. Margins also improved, with EBITDA fourth quarter consolidated growth of more than 10% compared to the previous year” said the note. “This result helps generate free cash flow
of the twelve months exceeding 60 million and, consequently, a leverage as at 31 January 2023
less than 1,00x”. The title Ovs at Piazza Affari share gains 12,81% to 2,48 euros in the morning, with an increase of 60% in the last six months. EUR+0,28 (12,81%).
Ovs expects further growth in 2023
“Compared to the scenarios of a few months ago” underlines Ovs “le inflationary tensions on the costs that characterized 2022 they are diluting, with a decline starting from the second part of 2023. On the front of sales the consumption orientation shows positive signs and our customers continue to show appreciation for the group's brands. In this context OVS, also thanks to the quality of the projects in progress and the quality of its operations, expects a 2023 in further growth".
Coin which instead did not provide data on 2022, has just cashed in with the sale of the property in Rome (35 million capital gain), but in view of a deterioration in the economic situation it was judged too "onerous" for Ovs. The possible amount of the transaction was not indicated but it probably would have been for a different amount from the 4 million euro with which it had purchased two years ago Stefanel. The group also bought Friends (transaction completed in July for an investment of 1,2 million) and is now engaged in the relaunch of the two brands.
If it doesn't work with Coin, they will look for other opportunities
Il Ovs group, the note continues, “confirms the commercial value of the Coin brand and network but, while continuing to evaluate opportunities for external growth that the market will offer, prefers to continue in the significant deleveraging action that, in this market context and also in the light of current prices, it appears to represent the best interest for its shareholders".
In terms of negotiations started last June, Coin's shareholders had granted Ovs an extension of the exclusivity until January 31st in consideration of the continuation of the due diligence activities (the original deadline was scheduled for last November 30th).
Skip the attempt to reunite the two companies born in the same family
The first traces of history of the Coin family go back to 1916. In the Sixties, Coin was already in the third generation, with Piergiorgio and Vittorio. In the 1972 Ovs was born (Special Sales Organisations), heir to the small Coinette chain which brought the unsold items of the big brand to the suburbs. Piergiorgio takes Coin in hand and guides it for 25 years, from 1974 to 1999, taking it to MY BAG. In 2005 Pai Partners, a private equity fund, took over the majority, the family completely exited the capital and was appointed beraldo managing director, former manager of Benetton and De' Longhi.
In 2011 Pai Partners sells to BC Partners, which proceeds to delisting of Coin, while in 2015 only Ovs was listed, the fund gradually exits and Giovanni Tamburi's Tip remains as single major shareholder with about 25%. In 2018 BC Partners also sells Coin to centennial, a company set up by a group of mainly Venetian managers and investors, including Beraldo himself. Also in the team is Marco Marchi, founder and president of Liu Jo, which today has 15%. And then Team&co with 21,25%, the same share as Hi-Dec, Jorall srl has 21,25%, just over Red Navy. Alessandro Faccio has 0,29% like Ugo Turi. Since May 2020 Coin has been led by CEO Roland Armbruster.
