Almatis (Germany) - Dec 2007

unquote
01 December 2007

Tweet
Facebook
LinkedIn
Google plus
Send to

Dubai International Capital, the investment arm of Dubai Holding has acquired 100% of Almatis, from funds controlled by Rhône Capital LLC and Teachers’ Private Capital, the private investment arm of the Ontario Teachers’ Pension Plan for $1.2bn. The existing management team is retained and Dubai International Capital supports the existing growth strategy of Almatis, which encompasses growing its presence in China, Russia, India, Brazil and the Middle East. The company’s market leadership in a growing industry and strong management team attracted Dubai International Capital to the deal. This represents a move towards further diversification of the portfolio.

Debt

UBS Investment Bank was appointed as a lead arranger of financing the deal.

Company

Frankfurt-based Almatis researches, develops and produces specialty alumina materials used in industrial manufacturing processes such as steel refractories, ceramics and flame retardants. It encompasses manufacturing facilities in Germany, the Netherlands, the US, Japan, China and India. Almatis employs more than 900 staff. The company plans to increase its global capacity by approximately 20% by 2010. The alumina refractory market is driven by the global steel production, which is expected to grow at a compound annual growth rate of 5% from 2006 to 2012. Most of the growth is expected to come from the Middle East and Asia, with China alone forecast to grow at a compound annual growth rate of 10%.

Advisers

Equity - JP Morgan, (Corporate Finance)Equity - UBS Investment Bank, (Corporate Finance)Vendor - Goldman Sachs, (Corporate Finance)

Sourced from: Deutsche unquote" 94 (Jan 2008)