PRESS RELEASE
Südwolle Group acquires Italian yarn manufacturers Safil and GTI
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Complementary acquisitions enable Südwolle Group to further diversify product portfolio in
customized and luxury yarns as well as to expand European footprint
Safil and GTI to leverage global reach of Südwolle Group for further growth
Management will continue to lead Safil and GTI as individual units under the umbrella of
Südwolle Group
Schwaig (Nuremberg, Germany)/Gaglianico (Biella, Italy)/Verrone (Biella, Italy), October 19, 2015 –
Südwolle Group, a leading global producer of worsted yarn for weaving, circular and flat knitting in
pure wool and wool blends, announced today that it has signed an agreement to acquire a 100% stake
in Safil S.p.A. as well as an 80% stake in Gruppo Tessile Industriale („GTI“) S.p.A., both Italian based
worsted yarn manufacturers. The shares are being acquired from Finsavio S.p.A., a holding company
for 100% of Safil shares and 50% of GTI shares, as well as from the founder and CEO of GTI, Alberto
Frignani, who currently holds 50% of GTI shares. As a result from this transaction Mr. Frignani will
remain a 20% shareholder in GTI and he will continue to lead GTI as CEO. Alberto and Cesare Savio, the
sons of Safil founder Fernando Savio and owners of Finsavio S.p.A., will continue to support the future
growth path of Safil as an individual unit under the umbrella of Südwolle Group: CEO Cesare Savio will
continue to lead the company and CFO Alberto Savio will continue to advise the company. The parties
agreed on confidentiality concerning financial details of the transaction.
With these complementary acquisitions, Südwolle Group enhances its product range and capability to
address client needs in customized, fashion, luxury as well as non-apparel segments. Furthermore, the
group will increase its footprint in the European and especially in the important Italian yarns market.
Both Safil and GTI are established family businesses that currently generate the majority of their
turnover in Italy. With the global reach and the financial strength of Südwolle Group as a reliable
industrial partner, Safil and GTI will be able to enter their next phase of growth, expanding within and
beyond Europe.
Südwolle Group: customized and volume yarn products for the needs of specific market segments
Based in Schwaig near Nuremberg, Germany, independent family owned Südwolle Group, whose roots
date back to 1918, covers the complete yarn value chain from the sourcing of raw materials to
treatment, spinning and dyeing. It has six principal brands: Südwolle (weaving yarns), Biella Yarn (flat
knitting yarns), Yarn in Motion (circular knitting yarns especially for the outdoor sector and functional
clothing), Richter (yarns for hosiery), Stöhr (yarns for technical applications, e.g. for automotive,
upholstery and corporate) and Soey (Air Jet yarns). With production facilities in Germany, Poland,
Romania and China, Südwolle Group employs more than 2,300 people worldwide. Südwolle Group
combines a worldwide yarn spinning capacity of 21,000 tons p.a., a dyeing capacity of 8,000 tons p.a.
and a wool top treatment capacity of 7,000 tons p.a. The products are ranging from large volume
standard yarns to highly customized yarns.
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Traditionally, Südwolle Group was focused on large volume orders of standard yarns. Over the past
decades, the group has diversified its business model and branched out into customized yarn
segments, developing into a one stop shop for its customers. In fiscal 2014, Südwolle Group posted
revenues of € 340 million. With ca. 85% of revenues, the main customers of the group are suppliers to
the apparel industry – both fashion and non-fashion, such as work wear. The other ca. 15% of
revenues are generated with non-apparel products, such as yarns for seat covers for the automotive,
airline, railway and furnishing industry.
Safil and GTI form perfect strategic fit with Südwolle Group
Safil, based in Gaglianico in Italy’s Biella province, is a renowned supplier of worsted yarns for knitwear
(outwear, underwear, jersey), weaving (apparel and upholstery), hosiery, protection clothing and
sportswear and has shown steady growth over the past years. While the company’s main customers
are also suppliers to the clothing industry, it traditionally focuses on different, usually more
customized segments than Südwolle Group as well as non-clothing segments. With approx. 700
employees and production facilities in Italy and Bulgaria with production space of almost 60,000 sqm,
the company has a yearly spinning capacity of ca. 7,000 tons and a cone dyeing capacity of ca. 4,000
tons per year. In 2014, Safil posted revenues of more than € 90 million.
GTI, based in Verrone in Italy’s Biella province, develops, manufactures and commercializes worsted
and woolen yarns for the weaving and knitwear industries, focusing on small productions of high-end
yarns for suppliers to the luxury fashion industry. GTI has approx. 50 employees, a yearly spinning
capacity of ca. 200 tons and production space of ca. 5,500 sqm. In 2014, GTI posted revenues of more
than € 10 million.
Klaus Steger, CEO of Südwolle Group, said: “Safil and GTI are established players in their respective
segments with significant international growth potential that we want to realize together with their
experienced management teams. In line with our strategy to focus resources on our spinning
businesses, increase our scope of products and expand our geographic reach, both firms are an
excellent strategic fit for our business. Our clients will benefit from our group’s enhanced know-how
and product offering in the global yarn market as well as our strengthened footprint in Europe and
Italy. We look forward to working with Cesare and Alberto Savio and Alberto Frignani who share our
commitment to quality as well as modern corporate governance and welcome them together with all
Safil and GTI employees to the Südwolle Group.”
Cesare Savio, CEO and Managing Director of Safil, said: “Südwolle Group is an ideal strategic partner
for Safil as it will enable our company to increase its global reach and access customers and sourcing
facilities within Europe and beyond”. Alberto Frignani, CEO of GTI, added: “I am convinced that GTI,
thanks to its new partner Südwolle Group, will be in an excellent position to develop its unique knowhow in natural fibers and its product innovation potential, and I am excited to lead GTI in this new
phase of its growth path”.
The closing of the transaction is expected within the coming weeks. Südwolle Group has been advised
in the transaction by Deloitte Germany (due diligence & legal; Partners: Dr. Markus Niebler,
Dr. Michael Fischer, Dr. Michela Pastorelli). Safil and GTI have been advised by K Finance – Clairfield
International as financial advisor (Partners Giuseppe R. Grasso, Albert Schander), by Pedersoli &
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Associati as legal advisor (Partner Alessandro Marena) and by Deloitte Financial Advisory as advisor for
the vendor due diligence (Partner Marco Bastasin).
About Südwolle Group (www.suedwollegroup.com)
Südwolle Group, located in Schwaig, near Nuremberg, is a leading global producer of worsted yarn for
weaving, circular and flat knitting in pure wool and wool blends. The group’s roots date back to 1918.
Today, it has more than 2,300 employees worldwide with production facilities in Germany, Poland,
Romania and China. With its six principal brands, Südwolle, Biella Yarn, Yarn in Motion, Richter, Stöhr
and Soey, Südwolle Group combines a worldwide yarn production capacity of 21,000 tons p.a., a
dyeing capacity of 8,000 tons p.a. and a wool top treatment capacity of 7,000 tons p.a. The products
are ranging from large volume standard yarns to highly customized yarns. In fiscal 2014, Südwolle
Group recorded revenues of € 340 million.
About Safil (www.safil.com)
Safil, based in Biella, Italy, was founded in 1954 and employs approx. 700 people. Safil is a leading
player active in the development and production of worsted yarns for the weaving and knitwear
markets. The company's product portfolio includes a wide range of wool and other fiber yarns such as:
mohair, alpaca, cashmere, silk, linen, polyester, polyamide, polypropylene, acrylic, viscose and aramid
fibres. The company has a yearly spinning capacity of ca. 7,000 tons and a cone dyeing capacity of ca.
4,000 tons per year. In fiscal 2014, Safil posted revenues in excess of € 90 million.
About GTI (www.gtispa.it)
Since its establishment, GTI has been active in a particular market niche of the textile industry,
designing and producing worsted, woolen and fancy high quality yarns exclusively out of natural fibers.
GTI manufactures yarns for the weaving, knitwear and recently hand knitting industries. The product
portfolio includes several blends of natural fibers (such as cashmere, silk, linen, pure wool and other
natural fibers) and raw materials which grant GTI a substantial competitive advantage. GTI carries out
all the production activities in-house in two different plants, directly owned by the company, with a
total production capacity of around 200 tons per year. GTI posted revenues of more than € 10 million
in fiscal 2014.
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Tobias Eberle
Telephone: +49 69 79 40 90 24
Email: [email protected]
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