Information on the target
HIG Capital has successfully completed the sale of 100% of Pinalli Srl to Borletti Group, an investment holding specializing in retail, luxury, and consumer branded goods. This transaction marks the exit of the international private equity firm, which acquired a majority stake in the perfumery chain in February 2023, alongside other chains such as Retail Evolution Srl, HQ Solution Srl, and PEB Srl, from the family holding LL Pinalli Investments. Pinalli and the selling shareholders were advised by Mediobanca as the financial advisor, while Pavia e Ansaldo handled legal aspects, Spada Partners managed tax matters, EY conducted financial due diligence, and McKinsey & Co. oversaw business analysis.
Founded in 1984 in Fiorenzuola d'Arda, Piacenza, Pinalli is one of the leading omnichannel distribution platforms in Italy for the beauty and personal care segments. During its partnership with H.I.G. Capital, the company absorbed the three other chains acquired in 2023, expanded its direct network from 63 to 108 retail locations, and strengthened its e-commerce infrastructure. The evolution of the chain included brand repositioning, the introduction of new store formats, the entry of international and digital-native brands, the launch of a private label, and the expansion of its loyalty program, which now boasts over one million registered customers.
Industry overview in the target’s specific country
The Luxury Beauty Supply Retailers industry in Italy has experienced significant growth, driven by increasing consumer demand for high-quality beauty products and personalized shopping experiences. The Italian market is characterized by a strong affinity for luxury brands, with consumers willing to invest in premium beauty products that offer both quality and prestige. This trend is further supported by the rise of e-commerce, which has transformed the way consumers shop for beauty products, allowing for greater accessibility and convenience.
In recent years, the Italian luxury beauty sector has seen a surge in the introduction of international brands, as well as the emergence of innovative digital-native brands that cater to the evolving preferences of consumers. Retailers are increasingly focusing on enhancing the customer experience through personalized services, exclusive product offerings, and engaging in-store environments. This competitive landscape has prompted established players to adapt their strategies, invest in technology, and expand their product ranges to maintain market relevance.
Moreover, the omnichannel retail model has gained traction in Italy, with consumers seeking seamless integration between online and offline shopping experiences. Retailers are investing in their e-commerce platforms and digital marketing strategies to capture the attention of tech-savvy consumers. The growth of social media and influencer marketing has also played a pivotal role in shaping consumer preferences and driving sales in the luxury beauty segment.
As the market continues to evolve, the Luxury Beauty Supply Retailers industry in Italy is poised for further growth, with opportunities for expansion and innovation. Retaile…