Since going public in 2015, Italian Wine Brands has experienced continuous growth (both organically and through M&A to expand its sales in the US and Canada) They have also acquired vineyards in the Tuscany region and established a presence in the Ho.Re.Ca sector.

Currently, the company's board holds more than 35% of the company's shares. However, it has not yet fully recovered from the setback it suffered in 2022, despite overcoming supply chain issues (glass shortages) and rising raw material costs (due to a poor wine harvest in 2022). The company's margins, as confirmed by the company in March, are already showing signs of recovery in 2023. We believe that it trades at a very compelling valuation compared to its peers & consumer discretionary sector

Italian Wine Brands (IWB) is a leading producer in the Italian wine sector covering the entire value chain of wine, excluding the production of grapes. It trades on the Milan Stock Exchange with a market cap of €210MM (9.65MM shares - €21.90) and its Enterprise Value around €320MM

IWB has a capital-light business model, which means that it does not own vineyards. The raw materials (grapes, must and bulk wine) are purchased from around 200 Italian vineyards and wine producers and then processed in the group's cellars (65%) and third parties’ facilities (35%).

The group distributes its products through two different channels: B2C and B2B. B2C involves the production and distribution of wine through non-store retail channels (e-commerce) mainly internationally, but also in Italy. Meanwhile, B2B is focused on sales and distribution and is oriented towards international supermarket chains where the private label or registered brand products are distributed. Recently, due to M&A activity, it has also added HoReCa to its B2B segment.

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