Business
PROPOSED $600M ACQUISITION & $280M RIGHTS ISSUE
PROPOSED $600M ACQUISITION & $280M RIGHTS ISSUE.
About this update from Elementis Plc
[{"type":"text","content":"\n \nRNS Number : 0228T Elementis PLC 29 June 2018 \n\nNOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO ANY OF THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR SOUTH AFRICA OR INTO ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OF SUCH JURISDICTION.\n \nTHIS ANNOUNCEMENT IS NOT A PROSPECTUS BUT AN ADVERTISEMENT. INVESTORS SHOULD NOT SUBSCRIBE FOR THE SECURITIES REFERRED TO IN THIS ANNOUNCEMENT EXCEPT ON THE BASIS OF THE INFORMATION CONTAINED IN THE PROSPECTUS TO BE PUBLISHED BY ELEMENTIS PLC AND AVAILABLE FROM ITS REGISTERED OFFICE IN DUE COURSE. \n \nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION\n\nFOR IMMEDIATE RELEASE\n \nELEMENTIS PLC\n \nPROPOSED $600M ACQUISITION OF MONDO \nAND $280M RIGHTS ISSUE\n \nCREATING A HIGHER QUALITY, HIGHER MARGIN GROUP WITH \nATTRACTIVE GROWTH POTENTIAL\n \nSummary\n \n· Elementis plc (\"Elementis\", or the \"Company\" and, together with its subsidiaries, the \"Group\"), a global specialty chemicals company, is pleased to announce that it has reached an agreement in principle in relation to the proposed acquisition of Mondo Minerals B.V. known as \"Mondo\" a leading integrated producer of industrial talc additives (the \"Acquisition\"). The Acquisition and the entry into the transaction documentation is subject to Mondo having completed the customary consultation procedures with its works council.\n \n· The offer price values Mondo at an enterprise value of $600 million on a cash free, debt free basis and represents a multiple of 13.1 times 2018 year to date EBITDA¹. \n \n· Mondo is a leading integrated producer of industrial talc additives currently owned by Advent International. Through the transformation of its high quality, long duration talc resources via proprietary flotation process know how and formulation expertise, Mondo creates reliably uniform and high purity additives, and has a strong track record of growth. In 2017 Mondo generated revenues of EUR 122 million and EBITDA of EUR 31 million with an EBITDA margin of 25%. The Company believes Mondo's business has attractive growth prospects and is showing good momentum in the current year.\n \n·&nbs...