Investindustrial PA Aromatics deal targets Italian flavors maker

Investindustrial PA Aromatics investment plans are moving ahead after an independently managed investment subsidiary held by Investindustrial Growth III agreed to back the Italian flavors and fragrances manufacturer, PE Hub reported. The transaction, which has been signed by the parties, remains subject to regulatory approval.

PA Aromatics generated about €50 million in revenue in 2025, according to PE Hub. The deal gives Investindustrial exposure to a specialist manufacturer serving food, beverage, confectionery, animal feed, pharmaceutical, cosmetics and personal care customers.

What is PA Aromatics?

PA Aromatics is an Italian developer and producer of flavors and fragrances founded in 1984 by the Montagna family. The company is based in Carbonara al Ticino, Italy, and supplies both multinational groups and Italian operators.

The company’s catalogue includes more than 8,000 products, PE Hub reported. Its model covers the full product development cycle and is supported by a research and development team of more than 30 people.

PA Aromatics operates four production plants, with three in Italy and one in Brazil. The group employs more than 100 people.

Management and growth plan

After the investment, Pinuccio Montagna is set to serve as chairman of the group’s board, while Riccardo Montagna is expected to serve as chief executive officer, according to PE Hub.

The company has expanded through a combination of internal growth and acquisitions. Investindustrial’s investment is intended to support further expansion in Italy and overseas, including by strengthening PA Aromatics’ management and manufacturing base and by funding both organic growth and additional mergers and acquisitions.

For a producer in flavors and fragrances, scale can matter because customers often require technical formulation work, production reliability and regulatory consistency across several end markets. A broader manufacturing and management platform can support higher volumes and a wider product range, although the transaction remains contingent on regulatory clearance.

What Investindustrial said about the deal

Andrea Bonomi, chairman of Investindustrial’s industrial advisory board, said PA Aromatics has a strong competitive position, technical specialization and opportunities in the global flavors and fragrances market, PE Hub reported. Bonomi said Investindustrial sees the company as having the qualities to become a leading global player in the sector.

Investindustrial is a private equity investor. In this deal, the investing entity is an independently managed investment subsidiary held by Investindustrial Growth III, according to PE Hub.

Advisers on the transaction

PA Aromatics and its shareholders were advised by Intesa Sanpaolo through its IMI Corporate & Investment Banking division as financial adviser, PE Hub reported. Legance, Avvocati Associati and PedersoliGattai acted as legal advisers to PA Aromatics and its shareholders.

Investindustrial was advised by Vitale, Co. as financial adviser and by Gatti Pavesi Bianchi Ludovici as legal adviser.

This story draws on original reporting from PE Hub.