Itago Forms AXEYA Engineering Hub with ETC Acquisition

Itago SGR is consolidating its strategic push into the engineering sector with the formal launch of AXEYA, a new independent multidisciplinary hub. This initiative is significantly bolstered by the majority acquisition of ETC Engineering, a move that propels the combined entity past the €30 million revenue mark and establishes a formidable presence in the global water infrastructure market.

The creation of AXEYA represents a deliberate aggregation strategy initiated by Itago in late 2023. The firm initially secured a 60% stake in Idrostudi, a company founded in 2002 by engineers from the University of Trieste. Idrostudi, which began as an R&D venture, has since evolved into a specialist in water and sewer network design, monitoring, and digitalization. The original partners, Luca Falcomer, Davide Russo, Mauro Castellarin, and Christian Marson, have reinvested, underscoring their commitment to the group's expansion.

AXEYA's architecture integrates several key subsidiaries, including Idrostudi, Overgrid, ETS, and ASDEA, with the newly acquired ETC Engineering. This synergy creates a comprehensive service offering that spans the entire integrated water cycle. The group now boasts a workforce exceeding 200 professionals, including 130 dedicated engineers, and operates in over 40 countries, demonstrating significant international reach.

The acquisition of ETC Engineering, headquartered in Trento with additional offices in Bologna, Bari, and Milan, is particularly strategic. Specializing in the design of civil and industrial wastewater treatment plants, ETC Engineering brings approximately €4 million in annual turnover and deep expertise in sanitary and environmental engineering. Their capabilities encompass process modeling, BIM design, and ongoing research and development, often in collaboration with academic institutions. Key sellers in this transaction included Lorenzo Rizzoli, Angelo Cantatore, and Claudio Modena (through LVM Holding srl).

This integration allows AXEYA to cover the full spectrum of water management services. From field surveys and leak detection to network monitoring, digitalization, infrastructure design, and advanced water treatment solutions, the group leverages a potent combination of engineering prowess, sophisticated software, digital twin technology, predictive analytics, and proprietary monitoring devices. The collective entity is currently executing over 300 projects annually, reporting a gross margin exceeding 30%, indicative of strong operational efficiency and market demand.

The expansion of Itago's engineering platform highlights a broader trend within the private equity space towards consolidating specialized industrial services. The water infrastructure sector, in particular, is experiencing robust growth driven by increasing regulatory demands for water quality, aging infrastructure requiring upgrades, and the growing imperative for sustainable water management solutions globally. AXEYA's comprehensive approach positions it to capitalize on these market drivers.