Tages Group and its shareholder Francesco Trapani have agreed to acquire 49% stake in private equity holding firm, VAM Investments.
Terms of the deal, which allows Tages to increase its stake up to 100%, have been not disclosed.
VAM Investments was established in 2011 as the investment vehicle of its partners alongside private and institutional co-investors. It focuses on growth and buyout private equity investments, with a broad scope in terms of industries.
VAM Investments founder and managing partner Marco Piana said: “The strategic agreement signed today represents a new stage of growth for VAM. It significantly strengthens our capabilities with the combined experience of both Francesco and the partners at Tages, as well as the access gained to Tages’ network of institutional investors.
As per terms of the agreement, Tages will purchase an initial 34% stake in VAM Investments, while Trapani will acquire 15% stake in the company.
Under the deal, Trapani will serve as executive chairman for VAM Investments Group. Marco Piana, founder of VAM Investments, will act as CEO.
The agreement also enables Tages to further integrate in the next three years and increase its stake up to 100%.
The current shareholders and managing partners of VAM, including Marco Piana and Giuliano Palazzo, will become shareholders of Tages.
The acquisition will allow VAM to increase the scale of its private equity operations and, in addition to benefiting from from synergies with Tages’ wider alternative asset management presence in Europe.
In addition, the deal will help Tages to further diversify its offering by adding private equity as the firm’s fourth line of business.
The private equity business will compliment Tages’ existing businesses across liquid alternatives (hedge funds and UCITS), infrastructure investments and distressed credit through its ownership of Credito Fondiario.
Tages founding partner and CEO Panfilo Tarantellis said: “The partnership with VAM is a natural evolution of this strategy and enables us to offer Italian companies new opportunities in the private equity space.
“We continue to believe that alternative investments will be a long-term growth sector and that providing stable, institutional capital is the best way to build a diversified business.”