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Fiskars $FKRAF Sells European Plastic Pottery Business to @Elho_Olaf

Fiskars $FKRAF Sells European Plastic Pottery Business to @Elho_Olaf

“An elho pot with a beautiful plant brings happiness everywhere, whether it is placed in a New York office or in the living room of the tiniest apartment in London.” –ELHO elho_outdoors With over 50 years of experience in making synthetic pottery and related products, Elho is well positioned to further invest in the Ebertsankey brand and business to bring value to customers and consumers. “Fiskars Group continuously simplifies structures and increases focus on selected businesses and brands,” the company said in a statement. “This divestment will allow Fiskars to continue to strengthen its focus on its core businesses and drive the company forward as an integrated consumer goods company.” The sale is not expected to have a significant impact on Fiskars Corporation’s financial position or result during 2016. The deal is expected to close before the end of 2016, subject to customary closing conditions. Photo: Olaf Elderenbosch, Elho co-owner and co-CEO.]]>

Sami Sagol Sells 80% Stake in Keter Plastic to BC Partners for Over $1.6B

Sami Sagol Sells 80% Stake in Keter Plastic to BC Partners for Over $1.6B

BC Partners Acquires 80% of Keter Plastic, Deal Expected to Close in Q4-2106


Israeli billionaire and philanthropist Sami Sagol, the chief executive and owner of Keter Group, is said to be nearing the sale of an 80% stake in Keter Plastic, one of the world’s leading manufacturers and marketers of resin-based household and garden consumer products. According to British sources, London-based private equity firm BC Partners is in exclusive talks to buy a majority stake in Keter Plastic in a deal that could value Keter at nearly $1.6 billion. Israeli media reported the value of the deal at $1.7 billion. BC Partners, founded in 1986 as Baring Capital Investors Ltd. was spun out of Barings following its collapse in 1995. BC has grown and evolved into a leader in buyouts, principally investing in larger businesses in Europe and North America through a network of offices in London, Paris, Hamburg and New York. BC Partners currently has over €12 billion in assets under management. Since inception, the firm has completed 91 acquisitions with a total enterprise value of nearly €100 billion. Born in Turkey, Sagol immigrated to Israel with his family at age 15 and built up the Keter Group, the company founded by his father Joseph, from a small local business into a global powerhouse. Both he and his company have garnered numerous awards, among them Israel’s “Industry Prize” and the French Legion of Honor Medal. In addition to his business activities, Sami Sagol and his wife Tova support numerous initiatives promoting higher education, science, coexistence and the bridging of social and economic gaps. Since Warren Buffett’s Berkshire Hathaway acquired Iscar Metals from Stef Wertheimer in 2006, Keter became Israel’s largest private company, Forbes says. With a focus on innovation driven by consumer insight, Keter provides a broad range of furniture, storage and organization solutions. The company reported annual sales of over $1 billion and over 1400 employees. The company was founded in 1948 and is headquartered in Herzliya, Israel. Keter Plastic is part of the Keter Group, a global enterprise that has been active for over 60 years. The Group operates 18 factories and two distribution centers in nine countries, and currently sells to over 100 countries around the world, maintaining sales offices in the majority of these markets. The Keter Group distributes to 25,000 retail outlets globally, including nearly all of the top 250 retailers worldwide – with many of these relationships dating back more than 25 years. Keter’s products have been internationally recognized with design awards such as the Red Dot Design Award (2010, 2011, 2013), ID Annual Design Review (2010) and DIY Product of the Year (2010). Photo: Sami and Tova Sagol and his wife Tova, founders and benefactors of the Sagol School of Neuroscience at Tel Aviv University, at 2012 TAU Brain Plasticity Symposium.]]>

Brazilian GP Investments ($GPIA) to Acquire World Kitchen in $566M Deal

Brazilian GP Investments ($GPIA) to Acquire World Kitchen in $566M Deal

GP Investments Acquisition Corp. (NASDAQ:GPIA)  a blank check company formed a year ago by Brazilian leading private equity firm GP Investments, Ltd., has agreed to acquire WKI Holding Company, Inc., the parent company of World Kitchen, LLC, a leading multinational manufacturer and marketer of houseware products with a portfolio of brands including Corelle, Pyrex, CorningWare and Snapware. World Kitchen’s enterprise value is approximately $566 million at $10.00 per share, implying a multiple of 7.2x projected calendar year 2016 adjusted EBITDA of $78 million, and post-closing equity value of $330 million, said GP. Three years ago, World Kitchen started exploring a sale of the company, and hired global middle-market investment bank Robert W. Baird & Co. to shop the company, reportedly seeking $600 million to $700 million in May 2013. World Kitchen began operating as the Corning Consumer Products division of Corning Inc. (NYSE: GLW), until it was spun off from Corning and acquired by Borden for $600 million in 1998. In 2002, the company filed for bankruptcy under Chapter 11 and underwent financial reorganization. As of 2004, World Kitchen has been privately held, and as a result of its financial restructuring it became a portfolio company of Oaktree Capital (NYSE: OAK), a leading global alternative investment management firm with $97 billion in assets under management, and New York-based W Capital Partners, a secondary market private equity investor. World Kitchen is a market leader in the global housewares segment. The company manufactures and markets a diverse portfolio of iconic brands across a broad range of product categories, including dinnerware, bakeware, storage, cookware and cutlery. World Kitchen’s international footprint, distribution network, channel diversity and strong relationships with key retail partners sustains its leading positions in mature markets and positions it to drive growth in select high-growth emerging markets. It employs more than 3,000 people globally, including 2,300 in the United States. “World Kitchen presents a unique investment opportunity, with significant long-term, high-growth potential,” said Antonio Bonchristiano, CEO of GPIAC and GP Investments, Ltd. “The company is a proven product innovator, with a diverse international footprint across retail, online and other channels.” “World Kitchen was seeking a strong, growth-oriented financial sponsor with access to public capital markets to partner with us in our next phase of growth,” said Carl Warschausky, president and CEO of World Kitchen. A GP affiliate will co-invest $50 million in the form of new GPIAC common stock at a price of $10.00 per share in cash. At closing, GPIAC will reincorporate from the Cayman Islands to Delaware and is expected to be renamed World Kitchen Group, Inc., trading NASDAQ under the ticker symbol “WDKN”. The acquisition will be funded through a combination of cash and the issuance of approximately 6.5 million shares of GPIAC common stock at $10.00 per share to World Kitchen’s current stockholders. The cash component of the consideration is expected to be funded by a combination of cash, the issuance of 5 million shares of GPIAC common stock to an affiliate of GP, and the proceeds of $275 million in new debt being provided by Citigroup and BMO Capital Markets. GP Investments will become the largest single stockholder with approximately 28% pro forma ownership on a fully-diluted basis, and former World Kitchen stockholders will have approximately 20% pro forma ownership. World Kitchen is expected to have an estimated $43 million cash balance to fund future growth, and a net operating leverage of 3.0x 2016 EBITDA. The transaction, which has been approved by the boards of directors of both companies, is subject to approval of GPIAC shareholders and the satisfaction or waiver of customary closing conditions, including regulatory approvals. The transaction is expected to close in July 2016. Citigroup served as GPIAC’s capital markets advisor, UBS served as GPIAC’s financial advisor, and Duff & Phelps served as financial advisor to the Special Transaction Committee of the Board of GPIAC. Skadden, Arps, Slate, Meagher & Flom LLP served as legal advisor to GPIAC. Morgan Stanley & Co. LLC served as financial advisor, and Latham & Watkins LLP and Davis Polk & Wardwell LLP served as legal advisors to World Kitchen. GP Investments Acquisition Corp. (GPIAC) was created by GP Investments in May 2015 via an IPO that raised $172.5 million in proceeds for the purpose of identifying attractive investment opportunities in the United States or Europe, with a focus on companies with long-term growth potential in the consumer goods, services and retail sectors. The creation of GPIAC is consistent with GP Investments’ strategy of growing its assets under management via expansion into different geographies and asset classes, primarily in the form of permanent capital. The company’s sponsor is GPIC, Ltd., a wholly owned subsidiary of GP Investments, Ltd. GP Investments, Ltd. (also GP Investimentos) (BM&F Bovespa: GPIV11) is a leading private equity and alternative investments firm in Latin America, with more than 20 years’ experience in corporate investing. The company has a strong track record of successful equity capital market transactions, delivering strong returns and building long-lasting enterprises. Since its inception, the company has raised approximately $5 billion from international investors and has invested in more than 50 companies across 15 sectors. In May 2006, GP Investments, Ltd. completed its initial public offering, becoming the first listed private equity firm in Brazil. The firm’s shares are listed on the Luxembourg Stock Exchange and trade on BM&F Bovespa, the Brazilian Stock Exchange, via Brazilian Depositary Receipts (BDRs). The firm was founded in 1993 and is headquartered in Hamilton, Bermuda, with offices in São Paulo, Brazil, New York, and Zurich. GP Investments was originally founded by legendary Brazilian investor Jorge Paolo Lemann, who sold the firm in 2004 to his junior partners and then went on to found 3G Capital. Most recently, in July 2015, 3G Capital partnered with Berkshire Hathaway to complete the combination of H.J. Heinz Company and Kraft Foods Group, forming the Kraft Heinz Company, following 3G and Berkshire’s acquisition of Heinz in June 2013. Previously, in December 2014, 3G Capital completed the combination of Burger King and Tim Hortons, forming Restaurant Brands International, following 3G’s acquisition of Burger King in October 2010. Affiliates of 3G’s Partners are meaningful shareholders of AB Inbev since 1989 and Lojas Americanas since 1983. Lemann is controlling shareholder and board member of Anheuser-Busch InBev. World Kitchen, headquartered in Rosemont, Ill., manufactures and markets products worldwide through a portfolio of brands, including Pyrex, Corelle, Corningware, Snapware, Baker’s Secret, Chicago Cutlery and Vintage Charm. The company’s brands and products have a strong reputation for quality, innovation, performance and durability. World Kitchen employs approximately 3,000 people, and has major manufacturing and distribution operations in North America and Asia-Pacific regions. Pyrex and CorningWare are registered trademarks of glassmaker Corning Inc., used under license by World Kitchen.]]>