INEOS Composites Acquisition by KPS Capital Partners for €1.7bn

Deal News | Dec 03, 2024 | PR Newswire Cision KPS Capital Partners, LP

KPS Capital Partners, a global investment firm, has signed a definitive agreement to acquire INEOS Composites from INEOS Enterprises Holdings II Ltd for approximately €1.7 billion. INEOS Composites is a leading global manufacturer of specialty composite resins, including unsaturated polyester resins, vinyl ester resins, and gelcoats, used in a wide variety of applications such as building materials, recreation, transportation, and wind energy. The company is headquartered in Dublin, Ohio, and Barcelona, Spain, and has around 900 employees and 17 manufacturing facilities globally. KPS intends to utilize its extensive experience in investing in process industries to enhance the profitability and growth of INEOS Composites, fostering innovation and superior customer service. The completion of the transaction is expected in the first half of 2025, subject to regulatory approvals, especially in France, and consultation processes. Legal and financial advisory for the deal is being handled by Paul, Weiss, Rifkind, Wharton & Garrison LLP, Piper Sandler, and Slaughter and May, with committed debt financing from major banks, including Goldman Sachs, Barclays, and Citi.

Sectors

  • Chemical Manufacturing
  • Private Equity
  • Industrial Manufacturing

Geography

  • United States – KPS Capital Partners is based in New York, and INEOS Composites has significant operations, including headquarters in Dublin, Ohio.
  • Europe – INEOS Enterprises, the parent company, is based in Europe, and INEOS Composites has operations in multiple European countries, including Spain.

Industry

  • Chemical Manufacturing – This industry is relevant as INEOS Composites is a manufacturer of specialty composite resins, a subset of chemical products, widely used in various industrial applications.
  • Private Equity – KPS Capital Partners is a private equity firm specializing in controlling equity investments, underscoring the focus on investment and capital management in the acquisition.
  • Industrial Manufacturing – INEOS Composites operates in industrial manufacturing with a wide array of products used in sectors like construction and transportation.

Financials

  • €1.7 billion – The valuation of the deal consideration for the acquisition of INEOS Composites by KPS Capital Partners.
  • $21.4 billion – Assets under management by KPS Capital Partners as of September 30, 2024.
  • $23.7 billion – Annual revenues generated by KPS Funds' portfolio companies as of September 30, 2024.
  • €2.7 billion – The annual sales of INEOS Enterprises globally.

Participants

NameRoleTypeDescription
KPS Capital Partners, LPBidding Company / BuyerCompanyA private equity firm specializing in controlled equity investments in manufacturing and industrial companies.
INEOS CompositesTarget CompanyCompanyINEOS Composites is a global manufacturer of unsaturated polyester resins, vinyl ester resins, and gelcoats.
INEOS Enterprises Holdings II LtdSelling CompanyCompanyA division of INEOS Group, known for its chemical manufacturing operations across the globe.
Paul, Weiss, Rifkind, Wharton & Garrison LLPLegal AdvisorCompanyProvided legal counsel to KPS Capital Partners in the transaction.
Piper SandlerFinancial AdvisorCompanyServed as the financial advisor to INEOS Enterprises during the sale.
Slaughter and MayLegal AdvisorCompanyOffered legal counsel to INEOS Enterprises for the transaction.
Andrew MillerManagement of Target CompanyPersonChief Executive Officer of INEOS Composites.
Raquel Vargas PalmerManagement of Bidding CompanyPersonManaging Partner at KPS Capital Partners, responsible for strategic decision-making.
Ashley ReedManagement of Selling CompanyPersonChairman of INEOS Enterprises, overseeing strategic operations.
Goldman Sachs Bank USA, Barclays, Citi, Intesa Sanpaolo, MUFG BankDebt FinanciersCompanyInstitutions providing committed debt financing for the acquisition.