Exit: DBAG sells stake in Cleanpart Group to MCC
Frankfurt am Main — Deutsche Beteiligungs AG (DBAG) successfully completes its investment in Cleanpart Group GmbH (Cleanpart). It is selling its shares to Mitsubishi Chemicals Corporation (MCC), a Japanese conglomerate that includes Shinryo, a competitor of Cleanpart. DBAG Fund VI, which is advised by DBAG, and Cleanpart Management are also selling their shares. Corresponding agreements were signed in August; their execution is still subject to the approval of the antitrust authorities. The transaction is expected to close within the next three months. The parties have agreed not to disclose the purchase price.
Cleanpart (www.cleanpart.com) is a service company for the semiconductor industry. The company services process-critical components of machines used predominantly in the production of logic chips, memory chips and similar components. These components must be regularly decontaminated, cleaned and recoated to meet the extreme cleanliness and performance requirements in the chip manufacturers’ production process. Components are serviced at the company’s own sites, which are located close to major customers in Germany, France and the USA. The company employs 420 people; in 2017 Cleanpart turned over just under 50 million euros.
DBAG and DBAG Fund VI had invested in Cleanpart in April 2015 as part of a succession solution for the family-owned company. In addition to the regulation of the succession, the technological further development as well as the focus on the business with the semiconductor industry were objectives of the investment. For this reason, the company’s second business area, Healthcare, was sold to a strategic buyer last year after a very successful development. Despite the sale of the health care business, sales and the number of employees are significantly higher today than at the beginning of the investment.
“Cleanpart is in a better position today than it was in 2015, for example due to the investments that have been made in new technologies in recent years in order to be able to serve particularly demanding customers,” said Torsten Grede, spokesman for the DBAG Management Board; “the company has the best prerequisites for developing well under its new owner.”
Commenting on the change of ownership,Dr. Udo Nothelfer, Chairman of Cleanpart’s Management Board, said, “MCC is the ideal partner for us and a good port of call, as both companies complement each other technologically and geographically.” Like Cleanpart, MCC subsidiary Shinryo is a service provider for the semiconductor industry with a similar portfolio. However, Shinryo mainly provides its services for other process steps in the semiconductor industry. In addition, the company is only active in Japan, Taiwan and China — precisely those regions that Cleanpart does not serve. Cleanpart, in turn, will contribute its American sites to the collaboration in addition to its European business and will be able to leverage Shinryo’s strong market presence in Asia in the future. Together, Cleanpart and Shinryo will be able to benefit from an expanded service portfolio, such as Cleanpart’s materials-specific engineering services and its offering of individual components for its customers’ machines.
The closing of the investment in Cleanpart is the second sale of a company from the DBAG Fund VI portfolio. The fund had structured eleven management buyouts between 2013 and 2016.
The portion of the proceeds from the sale now agreed upon attributable to DBAG exceeds the carrying amount of the investment in the IFRS interim financial statements as of June 30, 2018. Although the disposal will therefore result in a further contribution to consolidated earnings in the fourth quarter of 2017/2018, which ends on September 30, 2018, the contribution was predominantly included in the forecast for the 2017/2018 consolidated earnings of Deutsche Beteiligungs AG, which therefore remains unchanged in view of the continuing uncertainties regarding other factors influencing consolidated earnings.
Deutsche Beteiligungs AG, a listed company, initiates closed-end private equity funds and invests alongside DBAG funds in well-positioned medium-sized companies with development potential. DBAG focuses on industrial sectors in which German SMEs are particularly strong by international standards. With this experience, know-how and equity, it strengthens the portfolio companies in implementing a long-term, value-enhancing corporate strategy. The entrepreneurial investment approach makes DBAG a sought-after investment partner in the German-speaking region. The capital managed and advised by the DBAG Group amounts to approximately 1.8 billion euros.