RINA acquires EDIF in UK
RINA , the multinational testing, inspection, certification and consulting engineering group based in Genoa, Italy, is pleased to announce that it has signed a definitive agreement for the acquisition of the entire share capital of Edif Group Limited , a portfolio company of Phoenix Equity Partners for £118.5 million (around €151 million).
The Transaction represents a further step towards the fulfilment of RINA’s broader growth strategy, which will increase its geographical coverage, and deliver a higher level of technical expertise for its customers. In particular, the acquisition of EDIF will significantly increase RINA’s presence in the UK, alongside the US and German market, where the combination of the two groups will provide a platform for further expansion.
Ugo Salerno, Chairman and CEO of RINA, said:
“This acquisition is strategic and fits very well with RINA due to Edif’s profile in the energy, transport, defence, industry and infrastructure markets. Edif is also structured in a very similar way to RINA with two well-known brands, the ERA engineering consultancy and the NDE inspection business. Due to the complementary nature of the business, integration will be straight forward, resulting in a wider geographical footprint and immediate business gains. With this deal RINA’s turnover reaches about €500 million with an EBITDA close to €65 million. This will enable us to possibly go public in the medium term”
RINA was established in Italy (Genoa) in 1861 as a classification society to meet the needs of the shipping world. The company has since diversified and today is a multinational provider of testing, inspection, certification and engineering consultancy services to organisations in the Energy, Marine, Business Assurance and Transport & Infrastructure markets.
RINA has an estimated turnover of over €375 million in 2015, over 3,000 employees and 1,500 associates and is present in 163 offices in 60 countries worldwide.
The Acquisition of EDIF also represents RINA’s 6th acquisition in the past five years, and accelerate the path to IPO the company in the medium term.
The Edif Group achieved turnover of over £77.8 million on a pro forma basis in 2015 and is present in 20 offices internationally. The company has about 650 employees and over 2,500 associates. The company was recently recognised in the London Stock Exchange’s 1000 Companies to Inspire Britain report 2016, for the second year running.
RINA was advised by Rothschild, Gattai Minoli Agostinelli & Partners, Mayer Brown, PwC, Boston Consulting Group and LS Advisory.
The acquisition of EDIF represents the latest transaction in the TIC space for Rothschild (c. 40 in total over the past decade), and firmly establishes Rothschild as the premier adviser to corporates, foundations and financial sponsors in the sector.