Sanlorenzo S.p.A. has recently made a significant move in the luxury yacht market by acquiring 95% of Simpson Marine Limited, a major player in Asia’s yachting scene. This strategic acquisition, finalized on 5th March 2024, marks a new chapter in Sanlorenzo’s global expansion plans and underscores the growing importance of the Asia-Pacific (APAC) region in the luxury yachting industry.
The acquisition, valued at USD 10 million with a potential earn-out of up to USD 7 million based on 2023 fiscal year profits, solidifies Sanlorenzo’s position in key Asian markets. Simpson Marine, with a rich history spanning forty years, has been a leading yacht sales and service company across APAC, operating in countries like Hong Kong, Singapore, China, Thailand, Indonesia, Malaysia, and Taiwan. This extensive network provides Sanlorenzo with direct distribution channels in crucial regions, setting the stage for accelerated growth and market penetration.
The APAC region is witnessing a surge in Ultra High Net Worth Individuals (UHNWIs), making it a hotspot for luxury yacht sales. Compared to traditional yachting markets like the Mediterranean and the Americas, APAC offers a lower starting basis for yachting enthusiasts, attracting a broader range of affluent buyers. Initiatives such as yachting marinas’ development projects and the emergence of Hainan as a luxury hub further fuel optimism for sustained market expansion in the region.
Simpson Marine’s role in Sanlorenzo’s global strategy is pivotal, especially in enhancing service offerings. The acquisition brings together decades of expertise in services like charter, refit, superyacht brokerage, and yacht concierge, complementing Sanlorenzo’s high-end product portfolio. The synergy extends to cross-border commercial propositions, leveraging Sanlorenzo’s extensive presence from West to East through Simpson Marine’s established network.
Luca Cristino, a long-term executive at Sanlorenzo and the newly appointed Executive Chairman for Simpson Marine Group, emphasizes the strategic significance of this acquisition. Cristino highlights the company’s commitment to a direct distribution model, aiming to provide unparalleled customer service regardless of their location. With plans for expansion into markets like Australia, New Zealand, Japan, and Vietnam, Simpson Marine is poised for a dynamic year ahead, aligning seamlessly with Sanlorenzo’s ethos of bespoke and made-to-measure luxury.
The year 2024 holds immense promise for Simpson Marine, backed by Sanlorenzo’s resources and strategic vision. As the yachting industry continues to evolve, this acquisition positions Sanlorenzo as a dominant force in APAC’s luxury yachting market, promising exciting developments and business opportunities for both companies.