The global plastics industry had been awash with speculation for some time that a deal was imminent and a statement from Onex today confirmed the transaction, which it anticipates will close by March 31, subject to customary conditions and regulatory approvals.
David Mansell, a managing director at Onex, said KraussMaffei was a “global leader in each of its three segments, with a decades-long reputation for technology and quality.
“We look forward to working with Jan Siebert and his management team to further build on the company's market-leading position.”
KraussMaffei is the first European-based investment for Onex Partners III, a US$4.7 billion fund run by Onex that will inject US$340 million into the business.
Onex is not unfamiliar with the global plastic market; as recently as last year it had exited and re-entered the sector, selling its stake in Husky Injection Molding Systems Ltd., and then turned around late in the year to acquire extrusion equipment supplier Davis-Standard LLC.
In a statement KraussMaffei said it had made “successful steps to strengthen the business in its core markets as well as to expand its global presence in growing markets, particularly the Bric countries and
Speaking about the Onex deal, Siebert, KraussMaffei's CEO, said: “Building on our recent success, we see good opportunities to further grow the company.
“I am very pleased to be partnering with Onex given its track record and experience in our industry. I am looking forward to working with this experienced and successful company.”
Referring to KraussMaffei's previous owners since 2006, private equity firm Madison Capital, Siebert said: “I would like to thank Madison Capital for a reliable and trustful partnership over the last six years.
“The firm supported our strategy and business activities successfully, especially throughout the worldwide crisis in 2008 and 2009.”
KraussMaffei, which employs 4,000 worldwide, posted sales of around 1 billion euros (US$1.28 billion) in the year ended June 30.