Looking at options for Galbani

BC Partners is due to appoint an adviser charged with considering options for its 2002 investment, Italian dairy company Galbani. While it is still early days in any eventual process, PAI Partners and Lion Capital would rank among logical suitors for the business based on expertise and previous investment record. Another possible contender is 3i, sources said.

Galbani achieved 2004 sales revenue of €1.125bn, roughly the same as when it was acquired by BC Partners in 2002. At the time of the initial buyout, BC Partners described Galbani as a leader in the cheese market in Italy and a major player in the delicatessen market. It had five industrial sites, 4,240 employees and the largest sales network in Italy for fresh foodstuffs products. In Italy, it was in second place in the delicatessen market with a market share of 4.6% as against 6.1% for the leader. Its sales were 76% achieved in Italy and 24% internationally.