LONDON Feb 12 British private equity firm 3i
has sold plastic equipment maker Mold-Masters to U.S.
rival Milacron for 615 million pounds ($963 million) as part of
its debt-reduction disposal plan.
Under pressure from frustrated shareholders to cut its 1.2
billion pound ($1.88 billion) debt to less than 1 billion pounds
by June, 3i had said it will focus on asset disposals to achieve
this goal and boost its weak share price.
Proceeds from the deal announced on Tuesday will be about
219 million pounds ($343 million) - 2.6 times 3i's initial 84
million pound investment in the Canadian designer and
manufacturer of advanced hot-runner systems, temperature
controllers and auxiliary equipment for the plastics industry.
Since 3i's investment, Mold-Masters has accelerated its
organic growth in Asia, Europe and South America and also made a
number of add-on acquisitions to expand its geographical reach
and product offering.
Between 2009 and 2012, the company increased turnover by
61.3 percent, to C$ 271 million ($269 million) from C$168
The transaction is expected to close by April, subject to
Other 3i disposals could include French medical diagnostics
business Labco, UK software company Civica and German-Danish
ferry operator Scandlines, according to a note from Liberum