Doughty Hanson buys LM Glasfiber

Doughty Hanson & Co has acquired the Danish manufacturer of wind turbine blades, LM Glasfiber. The value of the deal, which is subject to the approval of competition authorities, has not been disclosed.

Doughty Hanson aims to support the company’s growth and increase its turnover, with a view to listing the company on the stock exchange in the next five years. LM Glasfiber’s present management will continue unchanged, and Doughty will take a position on the company’s board of directors.

LM Glasfiber is the world’s largest independent manufacturer of wind turbine blades. With its headquarters in Lunderskov, Denmark and production facilities in the Netherlands, Spain, India, the US and soon China, the company is located within reach of all of the principal markets for wind turbines. The global market for wind turbines currently amounts to $5 billion and has an annual growth of 25 per cent to 30 per cent.

Following the takeover the company’s objective will be to maintain and expand its current market share of approximately 47 per cent of total installed megawatts. The family-owned company has provided blades to its major customers for more than 10 years and is now planning global expansion, new products and an increased capacity. Having produced some 7,200 blades last year, LM Glasfiber’s turnover was DKK1,919 million (GBP161 million).

Chief executive officer of LM Glasfiber, Anders D. Christensen, said: “LM Glasfiber operates on a market which is growing rapidly, and we are now even better equipped to meet the demands of customers and the market with regard to our products and services.”

Ken Terry led the transaction for Doughty Hanson. Debt was provided by Dresdner Kleinwort Wasserstein, and ArosMaizels acted for LM Glasfiber.