Join Date: Aug 2008
Location: South Africa
Ferrari Life Posts: 1,291
Pininfarina Family to Lose Control of Design Company
Famous Italian design firm Pininfarina is synonymous for some of the greatest automotive designs ever made. Pininfarina has been employed by a wide variety of high-end automobile manufacturers. Iconic cars like the Ferrari Daytona, F40 and Enzo were all drawn at the company’s headquarters in Cambiano, just outside Turin.
Pininfarina was founded in 1930 by automobile designer and builder Battista “Pinin” Farina. The company is still being controlled by the family, but this is about to change due to financial difficulties. Pininfarina posted a loss of almost 17 million euros in the first nine months of 2011.
Reuters reports that Pininfarina is working on a debt restructuring agreement with its creditor banks. This deal will close a chapter that began in 2008 when the banks swapped 180 million euros in debt in exchange for a promise of proceeds from a future sale of part of the Pininfarina’s family stake.
As this deal is currently being finalized, the family’s 77-percent stake will be given to the banks ‒ ending the family’s 82-year ownership of the company. But this agreement will strengthen the financial position of Pininfarina as it will fix the capital structure and provides new opportunities for the famous design house.
It will be interesting to see what the future holds for Pininfarina, but as long as they continue designing cars like they did, it will be a great future.