The Glitter is Gone
Under Juan Navarro, the Exxel Group shot to fame as Argentina's most savvy leveraged buyout firm. But some of its companies are in financial trouble as Navarro's financial and management expertise is lacking luster.
The year was 1996, during the glory days of private equity
in Argentina, and a veritable feeding frenzy had broken out in
which even the most humble, family-run businesses could have
three or more funds fighting over them. While many a deal would
be struck, one man would out joust his fellow suitors to win
the hand of Penelope and the bragging rights that came with
her. His name was Juan Navarro, head of Buenos Aires-based the
Exxel Group, and the deal that cemented his image as the Henry
Kravis of Latin America was his acquisition of Supermercados
Norte. In what was Latin America's largest leveraged buyout
ever, Navarro acquired the Buenos Aires-based retailer for $440
million. Two years later, when he sold a 49% stake in the chain
to Promodes, now owned by Carrefour, Navarro had already earned
most of that back. When the French retailer acquired the...
Already have an account?
Subscribe now for unlimited access to all current and archive news, data and market analysis.
Take a free two-week trial now for the latest news, data and market analysis.