Polynt-Reichhold Will Repurchase Investindustrial’s Shares
Black Diamond Capital Management announced that Specialty Chemicals International Limited, a holding company of the Polynt-Reichhold group, will repurchase Investindustrial’s shares in Polynt-Reichhold. Following the completion of the transaction, Black Diamond will become Polynt-Reichhold’s controlling shareholder.
Black Diamond and Investindustrial became partners in Polynt-Reichhold after the merger of Polynt and Reichhold in May 2017. According to the companies, in the years following the merger, the combined company’s performance has substantially improved. The buyback, together with the refinancing of the existing debt, will be financed by approximately EUR 1.3 billion (equivalent) of new senior secured and unsecured debt facilities expected to be issued by the Company in the public debt capital markets. Affiliates of JP Morgan and certain funds managed by affiliates of Apollo Capital Management, L.P., have provided a commitment for the debt financing and funds managed by Black Diamond have provided an equity commitment.
“We are extremely pleased with what management has been able to achieve with Polynt-Reichhold thus far and are looking forward to supporting them for the next phase of growth,” said Steve Deckoff, Black Diamond’s managing principal.
The buyback is expected to close within six months from the date hereof, subject to receiving all necessary regulatory approvals.