Key facts
- Leonardo Maria Del Vecchio is exploring private debt options to finance a €10 billion deal to increase his stake in Delfin.
- The deal aims to raise his stake from 12.5% to 37.5% by buying out two siblings.
- BNP Paribas has exited the banking consortium that was arranging financing.
- Del Vecchio has reportedly contacted U.S. fund Apollo Global Management for alternative financing.
- Delfin is the largest shareholder in EssilorLuxottica and also holds stakes in Monte dei Paschi, Generali, and UniCredit.
Leonardo Maria Del Vecchio is reportedly exploring private debt options to finance his bid to increase his stake in the family holding company Delfin, a move that could value the deal at €10 billion. Del Vecchio, who currently holds 12.5% of Delfin, aims to acquire stakes from two siblings to raise his ownership to 37.5%.
This shift towards private debt comes as securing financing from traditional banks, including UniCredit and Credit Agricole, is taking longer than anticipated. Adding to the complexity, BNP Paribas has reportedly exited the banking consortium arranged for the deal. Italian newspaper MF first reported BNP's departure, and a second source confirmed it.
Italian daily Il Sole 24 Ore reported that Del Vecchio is also in discussions with U.S. fund Apollo Global Management as an alternative financing source. Both Del Vecchio and Apollo declined to comment on the matter.
Delfin, founded by the late Leonardo Del Vecchio, is the largest shareholder in EssilorLuxottica, the maker of Ray-Ban. It also holds significant stakes in Italian lender Monte dei Paschi, insurer Assicurazioni Generali, and UniCredit.
The transaction is under pressure to close by the end of June, but negotiations are being prolonged by disputes over guarantees and legal challenges from Rocco Basilico, the step-son of the late founder. While a provisional agreement has been reached to settle inheritance disputes and drop lawsuits, a final accord has yet to be finalized. A meeting of Delfin shareholders is scheduled for June 30.