Corneliani names new ceo, aims to grow business

Corneliani was recently sold to Investcorp. Now, the next step in the future of their business is appointing Paolo Roviera as their new chief executive officer. The businessman will step into his new role on September 5.

Roviera held the same role at Pal Zileri, and exited the firm earlier this week. Before his most recent position, he oversaw Europe, the Middle East, and North Africa for Ermenegildo Zegna group.

“Paolo is joining Corneliani at a very exciting time as we embark on an ambitious global expansion strategy,” said Hazem Ben-Gacem, chairman of Corneliani and the head of Investcorp’s Private Equity activities in Europe, in a statement.

In the announcement of his appointment, Roviera discussed Corneliani's position as a leading luxury men's wear company, and praised the company's unique tailoring and high quality products. He also discussed his hopes for the company, such as helping to grow their international retail presence.

In addition to the appointment of Roviera, Corneliani has also tapped Stefano Gaudioso as their new general merchandising manager. Gaudioso was previously leading global merchandiser at Pal Zileri, and before that he was in a senior merchandising role at Zegna.

Bahrain-based Investcorp has been trying to grow their presence in the luxury retail space, hence the majority stake they took in Corneliani. The deal is all part of a plan to eventually launch an IPO.

The enterprise value of the deal was estimated at 100 million dollars. Mantua-based Corneliani reported sales of 122.1 million dollars in 2015.

“Our commitment is to at least double that figure in five to six years,” said Ben-Gacem in a statement after the acquisition. He also stated there was no acquisition debt. The goal is to “become the undisputed world leaders in men’s wear.”

Several members of the Corneliani family are still part of the business. The late Claudio Corneliani's sons Corrado and Cristiano are still shareholders. Corrado oversees direction, production, and logistics and Cristiano is a commercial director. Corrado's son Stefano will also be joining the company and overseeing finance.

Investcorp is a former owner of Tiffany, Gucci, and Saks Fifth Avenue. It typically exists its investments through public listings. The group's three business areas are corporate investment, real estate, and global hedge funds. As of December 2015, they had a total of 10.7 billion dollars worth of assets under their belt.

Corneliani has a total of 1100 employees and is present in 58 countries through 10 directly operated stores, 850 multi-brand venues, 80 franchised banners, and 50 shop-in-shops. According to Cristiano Corneliani, the company will focus on building the North American market and has ambitious plans for the Middle East.

photo via Nordstrom website