Information on the Target

Save the Duck is a prominent brand within the fashion industry, recognized for its unique ability to produce stylish and sustainable innovative products. The company aims to redefine the fashion landscape by prioritizing eco-friendly practices while maintaining high aesthetic standards. This commitment has positioned Save the Duck as a leader among brands that focus on responsible fashion without compromising style.

Under the leadership of Nicolas Bargi, Save the Duck is poised for significant growth. With a well-defined strategy for international expansion and diversification of retail channels, the brand seeks to enhance its global footprint while reinforcing its dedication to sustainability. This bold vision aligns perfectly with the evolving consumer preferences toward sustainable fashion choices.

Industry Overview in Italy

The Italian fashion industry is renowned globally for its craftsmanship, creativity, and heritage. Known as the epicenter of style and luxury, Italy has a robust market characterized by a diverse range of offerings from high-end luxury brands to innovative mid-tier companies like Save the Duck. The sector has been resilient, adapting to trends such as increased consumer demand for sustainability and ethical production methods.

In recent years, the industry has witnessed a shift towards digitalization and e-commerce, accelerated by changing consumer behaviors exacerbated by the pandemic. Italian fashion brands are increasingly leveraging online channels to reach a broader audience, which provides them with greater opportunities for growth beyond traditional retail settings.

Moreover, the global push for sustainable practices has opened new avenues for Italian brands equipped with eco-friendly products. The increasing emphasis on sustainability resonates well with consumers, particularly younger demographics, thereby providing a strong growth potential for brands like Save the Duck that align their core values with these market expectations.

Finally, the Italian government and various trade agencies are actively promoting initiatives to bolster the fashion industry's global presence. By providing support for innovation and sustainability, these efforts contribute to creating a dynamic environment conducive to growth and investment.

The Rationale Behind the Deal

The collaboration between Progressio and Save the Duck is strategically beneficial for both parties, as Progressio aims to capitalize on Save the Duck's potential for rapid growth in the sustainable fashion segment. By strengthening Save the Duck's wholesale distribution network and expanding its retail and online presence, the deal is expected to enhance the brand's market position significantly.

Furthermore, Progressio's investment aligns with its broader strategy of supporting “hidden champions” within the Italian market, showcasing innovation, quality, and sustainability. This investment not only supports Save the Duck's ambitious growth plans but also reinforces Progressio's commitment to investing in sectors that showcase Italy's excellence.

Information About the Investor

Progressio SGR S.p.A., founded in 2005, is a distinguished private equity firm that focuses on Italian small and medium-sized enterprises (SMEs). The firm is entirely owned by its management team and led by seasoned industry professionals, including Managing Partner Filippo Gaggini. With a strategy centered on identifying and nurturing “hidden champions,” Progressio emphasizes Italian excellence across various sectors such as fashion, chemicals, and food & beverage.

With over 400 million euros managed and a successful track record of 21 investments, Progressio is committed to fostering organic growth and strategic acquisitions. Their recent fund, Progressio Investimenti III, aims to provide equity investments ranging from 25 to 30 million euros, focusing on high-potential opportunities in the fashion and luxury sector, among others.

View of Dealert

In expert opinion, the partnership between Progressio and Save the Duck is a promising investment that holds significant potential for success. Progressio's investment expertise and track record in the fashion sector, combined with Save the Duck's innovative approach to sustainable fashion, creates a strong foundation for growth.

This deal is particularly appealing given the current consumer landscape, where sustainability is becoming increasingly integral to purchasing decisions. The alignment between both entities' missions could facilitate a successful expansion and solidify Save the Duck's status as a leader in sustainable fashion.

Moreover, the planned strategic initiatives focusing on enhancing the wholesale distribution network, retail expansion, and the development of online channels indicate a forward-thinking approach that is crucial for thriving in today's fast-evolving marketplace. With such a comprehensive growth strategy, the potential for doubling the business within two to three years, as predicted by Nicolas Bargi, appears achievable.

In conclusion, this investment could not only yield substantial financial returns but also significantly contribute to the advancement of sustainable practices within the fashion industry, making it a compelling opportunity for Progressio.

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