SVP Investor Group acquires Klöckner Pentaplast

Following a cash equity injection of 190 million euros by a group of new investors led by Strategic Value Partners (SVP Investor Group) and new debt facilities underwritten and funded by Jefferies & Company and its affiliates, Klöckner Pentaplast has repaid the principal amount of 800 million euros of first lien senior secured credit facilities. Following the equity injection, the SVP Investor Group has assumed ownership of the company.

As part of the transaction, Klöckner Pentaplast’s capital structure has been strengthened as total debt has been reduced by approximately 50 percent to 630 million euros from 1.26 billion euros.

The new shareholders are said to be fully supportive of the existing management team.

Christian Holtmann, CEO of Klöckner Pentaplast, said: ‘The committed efforts of various parties to invest in our business have proven that this is a well-managed, operationally strong business with a financially resilient business model. Klöckner Pentaplast is well positioned with a broad product and market portfolio within its key international markets.

‘We thank all the parties for their constructive and supportive efforts throughout this process. We will remain focused on our key strengths and deliver the high-quality films and superior technical support for which we are known to all our customers. We are eager to work with our new shareholders to move Klöckner Pentaplast forward to drive our strategy and to achieve our goals.’

Victor Khosla, chief investment officer of SVP, said: ‘We are delighted to have invested in a business of such quality and resilience, and look forward to working with Christian and his team to fully realize Klöckner Pentaplast’s potential.’

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