BORLETTI GROUP takes majority stake in PINALLI

Borletti Group acquired 100% of Pinalli, the Italian omnichannel beauty retailer, buying the shares from H.I.G. Capital, which had held control since February 2023, and from the Pinalli family. The deal was carried out through an investment vehicle promoted and led by Borletti Group, with J. Safra Sarasin Asset Management as anchor investor alongside other co-investors, and the Pinalli family kept a minority stake. It was the first time Borletti Group, which had mostly taken minority positions in retail and fashion companies such as La Rinascente, Printemps, Twinset and True Religion, took full control of a business, and its first move from fashion into beauty retail. At the time of the sale, Pinalli generated revenue of and employed around 800 people across more than 100 stores, selling more than 400 brands in fragrance, skincare and make-up alongside its own private label. During H.I.G.'s ownership of about three and a half years, the network grew from 63 to 108 stores, the brand was relaunched, the e-commerce business expanded and the loyalty programme passed one million members. When H.I.G. invested, co-founder and chairman Luigi Pinalli and the management team had reinvested alongside the fund. Chief executive Raffaele Rossetti and the management team stayed in place under the new owner. Maurizio Borletti said the group would work with management to strengthen Pinalli's position in Italy and keep investing in new stores, digital capabilities and the customer experience. The sale followed a competitive auction run by the sellers, in which Houlihan Lokey advised Borletti Group, while Mediobanca advised Pinalli and the selling shareholders.