Platinum Equity Investment in Farnese Vini

Project Requirements

Platinum Equity required environment, health and safety (EHS) and environment, social and governance (ESG) advice to identify risks and opportunities associated with the proposed acquisition of Farnese Vini by its Small Cap Fund, which closed in 2018 and is focused exclusively on investments in the lower middle market. Farnese Vini is an Italian wine producer that markets wine internationally.

TRC Due Diligence Advice

The TRC team undertook a review of information provided by Farnese Vini, relating to the acquisition of production and marketing facilities in Italy and the operation of these assets. The information review was enhanced by calls with senior Farnese Vini management. This enabled our team to get a thorough understanding of the typical EHS and ESG challenges associated with wine producers, including real estate issues, water supply, waste and wastewater disposal, climate impacts and energy use.
We worked closely with Platinum Equity’s legal advisor, Latham & Watkins, to review the match on esg data gathered, assess the risk and advise on any issues potentially material to the transaction.

Client Benefits

TRC was uniquely well-positioned to advise on this transaction due to our:

• Long track record of providing EHS and sustainability transaction advisory services to Platinum Equity and other large-cap private equity fund managers.
• Extensive experience of advising on environmental issues in the food and drink and consumer goods sectors.
• Collaborative approach to due diligence, working closely with Platinum Equity’s own operational M&A team, as well as other legal, insurance, commercial and operational advisors throughout the deal process.

TRC’s EHS and sustainability reports were delivered on schedule to meet tight deal timeframes. Our support continued through successful signing and final close on March 31, 2020, in spite of the challenges of COVID-19, to ensure that Platinum Equity was able to successfully makes its investment in Farnese Vini.