Saudi Arabia NEOM Investment Fund (NIF) has announced its acquisition of a 6% stake in Technogym, the Italian fitness equipment maker. The investment, totaling €111 million ($120.83 million), establishes NIF as a long-term minority shareholder in Technogym. In a reverse accelerated bookbuilding operation, NIF purchased 8.8 million shares from other investors and entered a derivative solution for the purchase of an additional 3.3 million ordinary shares. This news has been well received by analysts, who anticipate significant business opportunities in the Middle East. The transaction does not result in share dilution for existing Technogym shareholders. Technogym is currently controlled by its founder and president, Nerio Alessandri. JP Morgan served as the sole bookrunner for the transaction, with Rothschild acting as NIF’s financial advisor.
In September, Rome and Riyadh signed an agreement to strengthen economic ties, with a focus on energy, sustainability, supply chains, and sport. This investment by NIF in Technogym aligns with the goals outlined in the agreement.
Source: Reuters