Chiomenti at Mergermarket Private Equity and M&A Forum Italy 2024

Once again this year, Chiomenti participated in the Mergermarket Private Equity and M&A Forum Italy 2024, a key event for private equity and M&A in Italy, aimed at exploring recent market developments and driving factors that will influence the sector in 2025.

The day was opened by the keynote speech of Giuseppe Baldelli, Co-Head of Global Corporate & Investment Banking, Country Head Italy & Chairman of Global Coverage at Mediobanca, in dialogue with Filippo Modulo, Managing Partner Chiomenti. Together they provided an overview of key developments in the global scenario, highlighting their impact on the M&A market. Despite macroeconomic instability and the many uncertain factors in the international environment, the volume of M&A transactions in the first nine months of 2024 increased 103 percent year-on-year. Italian market participants remain optimistic, considering economic growth drivers such as internationalization, the energy and technology transition, infrastructure strengthening, and the National Recovery and Resilience Plan under the Next Generation EU program. 

Outlook for the 2025 M&A market in Italy

The first panel discussion, focused on the primary drivers for the Italian M&A and private equity market in 2025, featured Luca Andrea Frignani, Partner Chiomenti, alongside Marzia Bartolomei from Fondo Italiano D'Investimento SGR, Fulvio Faralla from Engie, Francesco Giordano from PwC Italy, Roberto Ippolito from Clessidra SGR and Walter Ricciotti from Quadrivio Group.
The discussion highlighted the moderate recovery of mergers and acquisitions in Italy, driven by high-performing sectors such as luxury and strategic factors like the global appeal of the 'Made in Italy' brand. 
Among the topics discussed, how companies generate value by leveraging innovative tools and integrating new talent, the challenges and opportunities of the Italian mid-market, and the internationalization of Italian funds. In addition, the most effective alternative asset classes for investors were identified, along with the most promising sectors for 2025.

Evolution of M&A activity and private credit

The dynamics of M&A activity and the influence of macroeconomic factors on private credit, with a focus on emerging opportunities for this market segment, were at the center of the day's third panel. Participants, including Marco Paruzzolo, Partner Chiomenti, Francesco Di Trapani of Pemberton Capital Advisors LLP, Laura Berguig of Ares Management, and Gianandrea Perco of Dea Capital Alternative Funds, emphasized how the robustness of M&A deals in Italy and the increased involvement of international investors confirm the attractiveness of Italian mid-cap private companies. However, the absence of low-cost financing and the change in the availability of bank credit have complicated the situation for strategic buyers and sponsors. The discussion also covered the tightening of lending conditions, the advantages of alternative lenders, and opportunities in the mid-cap segment for loans without sponsors, analyzing the growing international interest in Italian assets. 

Private equity in Italy: challenges and opportunities
Elena Busson, Partner Chiomenti, contributed to a panel discussion on deployment and exit opportunities for private equity in Italy. The discussion, featuring leading figures such as Oliver Schumann from Capital Dynamics, Marco Castelli from BC Partners, Massimo De Lisio from PwC Italy, Massimo Manniello from EQT Group and Carlo Caverni from Italy WTW, highlighted the complexities of the fundraising landscape in Italian private equity and the importance of transparency and trust in LP-GP relationships. 
The debate allowed participants to evaluate how secondary activity, including continuity vehicles and preferred equity, is being used by GPs to optimize fund management and provide more dynamic exit options.