Acquisition
HG Capital Trust PLC
01 November 2005
Hg Capital Trust plc
The following is the text from a press release issued by HgCapital, which
manages the investment portfolio of HgCapital Trust plc alongside those of other
clients. The trust, which participates in all of HgCapital's investments, will
invest €13.7 million in Schenck Measuring and Process Technologies.
HgCapital announces acquisition of Schenck MPT from Durr AG
Frankfurt - London, 1 November 2005. HgCapital, the European sector-focused
private equity investor and Durr AG have signed an agreement on the sale of
Schenck Measuring and Process Technologies ('Schenck MPT'), which values the
company at €205 million. The management of Schenck MPT will participate in the
buy-out and take a minority stake. The transaction is expected to close by the
end of the year. This is the third acquisition by HgCapital in Germany in 2005.
The combined value of these three transactions totals more than €400 million.
Schenck MPT is part of Carl Schenck AG, a fully owned subsidiary of Durr AG,
with headquarters in Darmstadt, Germany. The company is the global market leader
for high-tech applications and solutions in industrial weighing, feeding and
automation. Schenck MPT develops, manufactures, assembles, markets and sells a
full range of solutions, products, systems and turnkey systems on the basis of
reliable components, combining process-engineering expertise and field-proven
technology. It is the only company offering its customers a full line of
applications and products across the various industries in the market for
weighing and feeding. Schenck MPT has activities in more than 40 countries and
operates eleven state-of-the art assembly facilities globally, Schenck MPT is
organised along four business segments: Heavy Industry (steel, cement, sand &
gravel and building materials industries), Light industry (specialty chemicals,
plastics and food industries), Mining and Transport & Logistics.
In the year 2005, Schenck MPT will generate sales of approximately €225 million.
In June 2005 the company employed 1,096 people globally. More then 40% of sales
are generated in the high-growth markets of China, India, South America and
Eastern Europe.
Martin Block, Head of HgCapital Frankfurt, said: 'Schenck MPT is the undisputed
leader within its industry. The company operates under a highly recognised brand
name and has solid and long-established relationships with a large number of
blue-chip clients all over the world. The management of Schenck MPT has
demonstrated during the successful restructuring of the company that it has a
profound understanding of the business and its markets. We fully endorse the
management's current strategy and will bring in additional experience, expertise
and resources to boost growth and profitability further.
Although Schenck MPT already has a strong presence in high growth markets we
will look carefully for acquisition opportunities, particularly in the markets
of China, India, South America and Eastern Europe.'
Dr Jochen Weyrauch, CEO of Schenck MPT, said; 'The buy-out of Schenck MPT is the
decisive next step in order to continue the successful expansion of the business
achieved over the last few years. The company has increasingly developed into a
standalone business and the most recent reorganisation has laid the platform for
the successful separation of this division from the main group. As an
independent business, Schenck MPT can be developed with greater focus and
efficiency and we look forward to working with HgCapital, which is an
experienced shareholder with strong capital resources. With our solutions in
measuring and process technologies we believe we are well positioned across all
growth industries, in particular the extraction and processing of raw materials.'
HgCapital was advised by Metzler, Lovells, PwC and LEK. Debt financing was
arranged by Mizuho Corporate Bank.
For further information
HgCapital
Martin Block +49 (69) 2470 3711 martin.block@hgcapital.net
Dr. Karsten Hartmann +49 (69) 2470 3717 karsten.hartmann@hgcapital.net
Maitland
Dr. Axel Ludeke +44 (20) 7379 5151 aluedeke@maitland.co.uk
Peter Ogden +44 (20) 7379 5151 pogden@maitland.co.uk
This information is provided by RNS
The company news service from the London Stock Exchange
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