PAI Partners takes majority stake in European Pizza Group

Announced in April 2023, the definitive joint venture agreement between PAI Partners and Nestlé carves out the Swiss conglomerate’s European frozen-pizza operations to create an independent commercial platform generating €250–500M in annual revenue. Structured with equal equity ownership and 50-50 voting rights, the transaction establishes governance parity between the private equity sponsor and the multinational corporate partner. The investment is backed by the PAI Mid-Market Fund, reinforcing a proven partnership model between the two groups. Marco Settembri, Executive Vice President and CEO of Zone Europe at Nestlé, mandated the carve-out following a strategic review, determining that an external alliance with a dedicated management team would best accelerate growth and expand market share across Europe. Through this structure, Nestlé retains an ongoing stake in the assets' future value creation, while PAI replicates its operational value-creation playbook in the consumer goods space. The transaction is subject to consultations with local works councils and employee representative bodies, alongside customary approvals from European regulatory and antitrust authorities. Subject to these closing conditions, completion and operational launch of the standalone joint venture are slated for the second half of 2023.

The acquisition of European Pizza Group is part of the growth strategy of PAI Partners, which already has several external growth operations under its belt, notably La Compagnie des Desserts in 2023.