Transaction Represents Global Specialty Chemical Business with Diverse End-Applications
LOS ANGELES, CA – June 1, 2016 – OpenGate Capital, a global private equity firm, announced today that it has signed a definitive agreement with Umicore (EBR:UMI) for the acquisition of Umicore Zinc Chemicals (“UZC”), a global leader in the production of zinc chemicals. The acquisition is expected to be complete in the second half of 2016. Terms of the transaction were not disclosed.
UZC has industrial operations in Belgium, the Netherlands, Norway, China and Malaysia. The business comprises six legal entities organized across three product lines: fine zinc powders, zinc oxide and zinc for batteries. UZC products are sold to customers around the world for use in a variety of end-applications including anti-corrosion paints, tires, pharma/chemicals, ceramics and glass, sunscreen and other products.
Andrew Nikou, founder and Chief Executive Officer at OpenGate Capital stated, “We are extremely pleased to have won the bidding process for Umicore Zinc Chemicals. This is the only truly global business in zinc-based, specialty chemicals which has enabled UZC to achieve superior market positioning. When we looked at the merits of the business, the management team, blue chip customer base and significant upside potential, we applied our team’s full resources to lock in this investment. ”
Julien Lagreze, Partner at OpenGate Capital, commented, “Umicore Zinc Chemicals has many outstanding operational qualities that will provide a solid operational and investment basis for OpenGate. UZC is a leader across all product lines, has best in class EHS performance, and has established tremendous relations with customers around the world. We are extremely excited to work with the management team to enhance the business and build an even more dynamic and vibrant enterprise over the next several years.”
Umicore Zinc Chemicals is headquartered in Angleur, Belgium. It generates more than €400 million in turnover and has more than 500 employees globally.
- Surface decorations
- Capsules and sleeves
- Adhesive tapes
OpenGate Capital has previously invested in the European PVC chemical space through its pre-fund acquisitions including Kem One SAS, Kem One Innovative Vinyls, Benvic and Profialis. In March of this year, OpenGate announced that through its private equity fund it acquired Energi Fenestration Solutions, a North American manufacturer of rigid PVC window profiles and patio doors.
Alfatherm is headquartered in Varese, Italy, generates nearly €100 million in revenue, and has approximately 400 employees.
About OpenGate Capital
OpenGate Capital is a global private equity firm specializing in the acquisition and operation of businesses to create new value through operational improvements, innovation and growth. Established in 2005, OpenGate Capital is headquartered in Los Angeles, California with a European office in Paris, France. OpenGate’s professionals possess the critical skills needed to acquire, transition, operate, build and scale successful businesses. To date, OpenGate Capital, through its legacy and fund investments, has executed more than 30 acquisitions including corporate carve-outs, management buy-outs, special situations and transactions with private sellers across North America and Europe. To learn more about OpenGate, please visit www.opengatecapital.com.
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