Total to sell its specialty chemicals’ affiliate Atotech to Carlyle for $3.2 billion

In the context of the divestiture process of its specialty chemicals’ affiliate, Atotech B.V., a global manufacturer of high technology plating solutions, Total has selected the offer from The Carlyle Group (CG:Nasdaq). In the framework of this transaction, Total will receive $3.2 billion, representing 11.9 times Atotech’s 2015 adjusted EBITDA.

Carlyle is a global alternative asset manager that is well positioned in Asia, Europe and the United States through its significant range of investments, and is one of the most experienced private equity investors in the global chemicals industry. With its deep understanding of Atotech’s businesses, Carlyle is well positioned to create meaningful value for Atotech as it continues to grow and develop its operations, customer base and talented workforce.

“Atotech, which is very active in Asia, is the worldwide leader in its high tech segment, with a business model focused on innovation and customer relationships. Carlyle will enable Atotech to pursue its growth ambitions and serve its customers while respecting its commitments towards its employees and stakeholders. This transaction is part of Total’s portfolio management strategy, which aims to align the Group’s asset base with its business ambition. It also forms part of the $10 billion divestment program over 2015-2017 announced by the Group,” commented Patrick Pouyanné, Chairman & CEO of Total.

Equity for the transaction will come from Carlyle Europe Partners IV, a €3.75 billion buyout fund, and Carlyle Partners VI, a $13 billion U.S. buyout fund.

Gregor Boehm, Managing Director and Co-Head of Carlyle Europe Partners, said: “With its intense customer focus and state-of-the-art R&D capabilities, Atotech is poised for continued growth and innovation. We look forward to partnering with the company’s management team and employees to fully realize Atotech’s potential.”

Martin Sumner, Managing Director on Carlyle’s Industrial and Transportation team, said: “Atotech is a strong business with excellent growth prospects in the global plating chemicals and equipment industry. Carlyle looks forward to supporting Atotech’s management team through continued investment in superior technology innovation and solutions for its global customer base.”

The proposed transaction is subject to the applicable legally required consultation and notification processes for employee representatives and to approval by the relevant antitrust authorities.

About Atotech

Part of Total since 1993, Atotech B.V. is a global leader in metal and surface finishing technologies, with two business segments: electronics (printed circuit boards, semiconductors) and general metal finishing (for end-markets such as automobile, construction, furniture etc). Active in more than 40 countries, Atotech has over 4,000 employees worldwide, mainly in China and in Germany, with 18 production sites (6 in Europe, 8 in Asia, 4 in America) and 18 TechCenters (5 in Europe, 8 in Asia, 5 in America). In 2015, Atotech’s sales were €1 billion.


Source: The Carlyle Group Press Release

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