Deals round-up: Ciba division acquired by MGPE

Morgan Grenfell Private Equity (MGPE), the private equity arm of Deutsche Asset Management, has exchanged contracts to acquire Ciba’s performance polymers division in a transaction subject to regulatory approval. The business is being acquired through MGPE’s European buyout fund, Deutsche European Partners IV LP.

Institutional equity for the transaction totalling Sfr665 million was underwritten by funds managed by MGPE and Abbey National Treasury Services. Debt facilities totalling Sfr1.4 billion were underwritten by Credit Suisse First Boston. Merrill Lynch acted as financial adviser to MGPE.

The performance polymers business, with over 3,000 employees worldwide, will be headquartered in Basle, Switzerland. Dr Karl-Gerhard Seifert, head of MGPE’s German private equity team, is to be appointed non-executive chairman of the business. He was formerly CEO of Clariant.

“The performance polymers division is a high quality branded asset with top-line growth potential driven by its leading technological position. It is one of the world’s top three epoxy resins manufacturers and has strong positions in specialty applications such as advanced tooling, adhesives and photo-ploymers,” says Graham Hutton, chief executive of MGPE.