VE owner Hal takes a major stake in Safilo

Hal Holding, the parent company of Vision Express, could now own almost half of Safilo thanks to a cash injection of €283m in the frame firm.

Safilo's board of directors approved a recapitalisation plan for the company, through a binding investment agreement underwritten by Hal Holding.The proposed transaction was outlined by the board in a letter to the Italian stock exchange. Hal, a Safilo industry partner which currently owns approximately 2.1 per cent of its shares, would inject new equity and have a stake of between 37.23 and 49.99 per cent.

If successful, the plan will restructure Safilo's existing senior debt financing agreements and see the sale to Hal for around €20m of its non-core, loss-generating retail chains. These include Loop Vision in Spain, Just Spectacles in Australia, Sunglass Island and Island Optical in Mexico and retail activities in China.