Acquisition of Befesa from Abengoa

14.06.2013

Triton Funds signs a Sale and Purchase Agreement for the acquisition of Befesa from Abengoa

  • Value of EUR 1.075 billion, cash purchase price of EUR 850 million
  • European market leader in niche recycling businesses with strong core activities in Germany
  • Potential for future growth in emerging markets such as South Korea, Turkey, Middle East and Asia

14 June 2013 - Funds advised by Triton are taking over 100 % of Befesa, an international specialist in steel dust, salt slag and aluminium recycling and industrial waste disposal, from the Spanish technology group Abengoa. The value including debt taken over by Triton is EUR 1.075 billion, the cash purchase price is EUR 850 million. The transaction includes, inter alia, a convertible instrument of EUR 225 million which will convert into the economic equivalent of 14.1% of common equity on exit or other certain events. The completion of the transaction is subject to customary regulatory approvals and expected during mid July.

"We are pleased to have reached a successful conclusion to the negotiations with Abengoa. As a recycling specialist Befesa has an outstanding position in the European market and great potential to take advantage of international growth opportunities. We look forward to working together with the management team and employees in further expanding the business", said Peder Prahl, Director of the General Partner of Triton Funds.

Befesa specialises in recycling steel dust from the steel and galvanizing industry and recycling salt slags from the aluminium industry. Befesa is also a leading aluminum recycler in Europe. Befesa's business consists of the activities of the former German company, B.U.S. Berzelius Umwelt AG, whose operations have continued under Befesa's ownership at various locations in Germany. With a market share of over 50 % in the recycling of steel dust and over 60 % in the processing of salt slags from aluminium production, Befesa is the European market leader.

In Spain, Portugal and Latin America, Befesa also operates an Industrial Waste Management business, including cleaning and sulphur valorisation.

"We see considerable growth potential for Befesa, particularly in South Korea, Turkey, the Middle East and Asia where industrial manufacturing is gaining in importance. This potential is also brought to light by the increasing regulatory demands on environmental management and recycling in these markets," said Peder Prahl.

Javier Molina, Chairman of Befesa, said: "The company is set for further international growth and I am convinced that Triton is the ideal partner to support us in this important step. With its industry track-record and experience in supporting corporate development, Triton will enable us to continue growing and create value."

About Befesa

Befesa is an international company that specializes in the integral management of industrial waste, with plants in Germany, Spain, United Kingdom, France, Sweden, Turkey and South Korea, as well as Chile, Argentina and Peru. Thanks to the dedication of its more than 2,000 professionals, Befesa is a leader in the steel dust and salt slags recycling sectors in Europe.

About Triton

The Triton funds invest in and support the positive development of medium-sized businesses headquartered in Northern Europe - with a focus on Germany, Switzerland, Austria and the four Nordic countries: Denmark, Finland, Norway and Sweden. Within this European region, Triton focuses on businesses in the Industrial, Business Services, and Consumer / Health sectors.

Founded in 1997, Triton seeks to pro-actively contribute to the building of better businesses for the longer term. Triton and its executives wish to be agents of positive change towards sustainable operational improvements and growth.

The Triton funds are advised by dedicated teams of investment professionals based in Jersey, London, Germany, Luxemburg, China and Sweden.

For further information: www.triton-partners.com

Press Contacts

Triton - GERMANY
CNC Communications & Network Consulting - Max Hohenberg
Triton - UK
Brunswick Group Gill Ackers/Joe Shipley
Triton - SWEDEN
Brunswick Group Annette Brodin Rampe/Peter Lindell