Carlyle invests $1.7 bil in automation equipment maker Duravant US private equity firm expected to use IPO slated for 2024 as exit route

Translated by Ryu Ho-joung 공개 2022-04-13 08:09:28

이 기사는 2022년 04월 13일 08:07 더벨 유료페이지에 표출된 기사입니다.

Private equity firm Carlyle Group has agreed to invest $1.7 billion (approximately 2 trillion won) in Illinois-based Duravant, a manufacturer of process equipment, which is expected to go public in 2024, according to industry sources.

Duravant was acquired by private equity firm Warburg Pincus in 2017. Carlyle will buy a 39% stake in the company from existing shareholders, becoming its largest shareholder alongside Warburg Pincus’ continuation fund.

Warburg Pincus aims to take Duravant public in 2024, when the two private equity investors are expected to sell part of their shares in an initial public offering. Carlyle plans to sell additional shares in the following year, with a target of completing its exit from the company in 2027, according to sources.

Carlyle’s investment in Duravant is projected to deliver a multiple on invested capital of 3 times and a 24% gross internal rate of return.

Duravant manufactures automation equipment used in packaging, food processing and materials handling. The latest deal valued the company at over 7 trillion won, compared to the valuation of about 1.5 trillion won in 2017 when Warburg Pincus acquired it.

Duravant has bulked up through acquisitions over the past four years. Most of its 14 subsidiaries have an EBITDA (earnings before interest, tax, depreciation and amortization) margin of over 25%.

Duravant is currently owned by Warburg Pincus’ fund (57%), its management (17%), Singaporean sovereign wealth fund Temasek (13%) and China’s CIC (13%). After the deal closes, Warburg Pincus and Carlyle will own 39% each of the company, while Temasek, CIC and the company’s management will hold 13%, 6% and 4% stakes respectively. (Reporting by Hyo-jung Lim)
< 저작권자 ⓒ 자본시장 미디어 'thebell', 무단 전재 및 재배포 금지 >
주)더벨 주소서울특별시 중구 무교로 6 (을지로 1가) 금세기빌딩 5층대표/발행인성화용 편집인이진우 등록번호서울아00483
등록년월일2007.12.27 / 제호 : 더벨(thebell) 발행년월일2007.12.30청소년보호관리책임자김용관
문의TEL : 02-724-4100 / FAX : 02-724-4109서비스 문의 및 PC 초기화TEL : 02-724-4102기술 및 장애문의TEL : 02-724-4159

더벨의 모든 기사(콘텐트)는 저작권법의 보호를 받으며, 무단 전재 및 복사와 배포 등을 금지합니다.

copyright ⓒ thebell all rights reserved.