LVMH-backed private equity firm completes Pinarello purchase

An investment fund backed by French luxury goods giant LVMH has completed its acquisition of Italian bike brand, Pinarello, bike sponsor to Team Sky.

Fausto Pinarello, whose father Nani founded the Treviso-based business in 1952, remains CEO and keeps a minority stake in the business following the sale of a controlling state to private equity fund, L Catterton.

> Pinarello sold to private equity firm part owned by French luxury goods group LVMH

In a press release issued yesterday, he said: “I am extremely pleased to announce the closing of the deal today; it represents a new beginning.

“This investment aims at reinforcing the company, supporting the development and growth of the Pinarello brand at a global level.”

Bikes made by Pinarello, which in 2015/16 had sales of €52 million, have been ridden to the overall victory in the Tour de France on 12 occasions, more than any other bike manufacturer can claim.

Four of those victories have come in the past five years through Team Sky – Sir Bradley Wiggins’ win in 2012, followed by Chris Froome in 2013, 2015 and 2016.

The company sells 30,000 bikes a year and operates in more than 50 countries around the globe.

Late last year, before the L Catterton and Pinarello deal was confirmed, the private equity house was rumoured to be in discussions with London-based cycle clothing firm Rapha.

Things have gone quiet on that front, however, and earlier this month it was reported that Rapha’s current backers,

> Rapha owners reportedly seeking advisers to handle sale of business - but rumoured LVMH deal seems to have hit brick wall