16 July 2018
DETAILS
The industrial gases specialist
Messer and CVC Capital Partners Fund VII (“CVC”)
today concluded an agreement with Linde AG
to acquire the majority of
Linde’s gases business in North America
and certain business activities in South America.
With approximately 5,100 employees,
the acquired North and South American companies
generated 2017 revenues of USD 1.7 billion (EUR 1.4 billion)
and EBITDA of just over USD 360 million (EUR 305 million).
The purchase price of USD 3.3 billion (EUR 2.8 billion)
will be subject to customary adjustments at closing.
The transaction is subject to the completion
of the planned merger of the two industrial gases firms,
Praxair and Linde,
and the approval by the relevant cartel authorities.
The joint venture between Messer and CVC Fund VII
will be named
MG Industries
and will operate under the Messer brand.
As part of the transaction Messer,
the world’s largest privately managed specialist for industrial gases,
will contribute its Western European operating companies
into MG Industries.
These operations in Spain, Portugal, Switzerland, France,
Benelux, Denmark and Germany employ 780 people
and generated 2017 revenues of EUR 334 million.
With 5,675 employees worldwide,
Messer achieved 2017 revenues in excess of EUR 1.2 billion.
Stefan Messer,
owner and CEO of the Messer Group,
with headquarters in Bad Soden, Germany
‘In creating this strategic partnership,
we are seizing a unique opportunity
to return to the North and South American markets
and create a global player in the industrial gases sector’, .
In the course of its restructuring in 2004,
the Messer Group sold its North American holdings
to the French Air Liquide SA.
‘Through our industry expertise and strong engineering
and application know-how, as well as
the operational expertise and global network provided by CVC,
we will continue to grow the acquired businesses
together with its highly experienced and motivated employees.’
Alexander Dibelius,
Managing Partner and Head of DACH at CVC
‘This is an exciting opportunity to create a new global player
in the attractive industrial gases sector.
We are delighted to be partnering
with Messer and the Messer family
with whom we have a long-standing, trusted relationship for years.
Their engineering competencies and application know-how
will, amongst others, be critical aspects
in further growing the acquired businesses in the future.’
Diana Buss
Corporate Communications
Senior Vice President Communications
Angela Bockstegers
Corporate Communications
Senior Specialist Public Relations
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