Deutsche Asset Management (Deutsche AM) and Rimorchiatori Riuniti S.p.A. (RR) announced a partnership in a harbour towage business in Italy and the Mediterranean.
Pan European Infrastructure II L.P. (PEIF II), managed by Deutsche AM’s infrastructure business, has agreed to acquire a 35 percent stake in Rimorchiatori Mediterranei S.p.A. (RM), with RR retaining the remaining 65 percent.
RM is the leading player in the harbour towage sector in Italy, and number two in the Mediterranean, holding long-term concessions under a solid regulatory framework in various major Italian and Maltese ports. RM operates a modern fleet of more than 100 tugs and other units, equipped with advanced technology; in 2016 it generated revenues of around 110 million euros.
RR has selected Deutsche AM, a global infrastructure investment manager, as a long-term partner to support RM’s growth ambitions in the harbour towage sector, through organic growth and external acquisition opportunities. Deutsche AM brings to the partnership both financial backing and strong sector knowledge through its long-term experience in the port sector. The investment in RM is another key milestone in Deutsche AM’s strong track record in Italy, following the recent investment in the Italian airport group SAVE (August 2017), and confirms Deutsche AM’s infrastructure business as an attractive long-term financial partner for infrastructure operators.
“It was not an easy decision to take a new partner on board with whom to continue the rapid growth phase that this group has undergone over the last ten years of towage services,” admits Gregorio Gavarone, Chief Executive Officer of RR and Chairman of RM. He added, “However, we are convinced that the future success of this business will very much depend on our capacity to build up large economies of scale, transparent standard processes and adequate investments to ensure an efficient service of the highest quality for our clients. Deutsche AM has, from the beginning, shared our vision and approached this in a very constructive manner. We are thrilled to join forces with a group that has such a solid background, strong international business relations and deep experience in service and infrastructure ventures.”
“We are delighted to invest alongside RR in a leading harbour towage group and were impressed by the drive, commitment and successful track record of RM’s leading shareholders and management. We see significant growth opportunities for the business, which is committed to become number one player in the Mediterranean, and look forward to working with RR to support their growth ambitions,” said Hamish Mackenzie, Head of Infrastructure at Deutsche AM. He added, “We are very proud of the investment which aligns perfectly with our investment strategy. It represents our second in Italy and the fourth investment for PEIF II.”
RR has been assisted in this transaction by Lazard (financial and M&A advisor) and Pedersoli Studio Legale (legal advisor).
About RR
RR is an operating holding company active in the harbour, offshore, and shipping sectors, controlled by old Genoese families. Rimorchiatori Riuniti was started at the beginning of ‘900 by a number of small family companies active in port services, who in 1922 joined forces to better manage the towage in the port of Genoa. Since then the core business has been expanded directly and indirectly in various ports in Italy, Mediterranean and overseas. The Company is also active in the offshore sector owning modern and high quality vessels mainly operating in the Mediterranean, North Sea, West Africa and Brazil.Through the years, investments in dry cargo, tankers and container vessels have always been large part of the Company activities ranging from Suezmax tankers to Product carriers, handymax and Panamax carriers. As of today the fleet includes 5 AHTS, 3 panamax/kamsarmax units plus other units on TC basis.
Deutsche Asset Management – Infrastructure
Deutsche Asset Management’s infrastructure investment business has been investing in infrastructure assets since 1992. The global platform – which provides client solutions covering private equity infrastructure, listed infrastructure and infrastructure debt – gives investors access to such economic sectors as transportation, utilities, telecommunications, and other service sectors critical to the basic functioning of local and global economies. As part of the Alternatives platform, this infrastructure business has €18.4 / $21.8 billion in assets under management, 21+ years direct infrastructure experience and 49 infrastructure investment professionals (as at September 30, 2017).