Negotiations over the possible entry of an investment fund into Chervò, the leading Italian golf apparel company, have failed over its valuation. Francesco Guidetti, a brand development expert who had been appointed as managing director a few months ago, has resigned on good terms, as he was going to take a shareholding along with the fund.
Manfred and Peter Erlacher, who founded the company under a different name in 1983, are going to continue to control it and to run it along with two minority shareholders, Pio Canins and Fritz Neumann, who remain as distributors in Chervò’s most important markets – Canins for Italy and France, and Neumann for Germany and Austria.
The Erlachers also continue as shareholders in Sport Gear, the Italian company that owns Wild Roses and has the license for Vuarnet activewear. They also own stakes in a new golf club and resort on Lake Garda, Chervò Golf San Vigilio, opening May 15.
The only major structural change, which was implemented last month, is the consolidation of Canins’ and Neumann’s inventories of Chervò products in the company’s warehouse near Affi. Chervò also bought out a neighboring textile office and turned it last November into a large factory outlet.
The company reached a turnover of about €24 million in 2008, recording a small increase after many years of stronger growth. Out of the total turnover, 25 percent was generated in Italy and 35 percent in Germany and Austria. Sales in Italy grew by about 10 percent and are expected to increase by a further 12 percent in 2009, in spite of the poor economic conditions in the country.
More information on this and many other companies in a report of more than 500 pages on the Southern European golf apparel and footwear market that we have just published. You may ask for an executive summary prior to the purchase of this and two other volumes that will follow shortly.
