AXA Private Equity has agreed to acquire French chemicals company Novacap from US private equity firm Bain Capital for an enterprise value of €240m, with the support of the company’s management.
Headquartered in Lyon, Novacap’s product lines include soda ash and bicarbonate minerals, phenol and acetone petrochemicals, and acid distribution, posting earnings of €470m in 2010.
The company was created when Bain acquired some of the intermediate chemicals and industrial mining assets of French chemicals manufacturer Rhodia in 2003. Bain completed a €130m debt refinancing last for the company last June to clear the way for a sale.
The deal adds to AXA Private Equity’s portfolio of chemicals companies, which includes German group CABB and French-Canadian company Unipex. The firm also recently sold Eliokem to US-listed chemicals and polymers manufacturer Omnova Solutions for €227m.
Thibault Basquin, director at AXA Private Equity, said: “Our intention is to assist the company in developing new applications and implementing an active build-up strategy within complementary activities, notably relying on management’s expertise to carve-out businesses from industrial corporates”.
AXA recently acquired gas distribution business E.ON Rete for €290m, alongside Italian investment firm Fondi Italiana per le Infrastrutture.
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