Brachem sells 14% stake in Germany's Brenntag for €500m

19 January 2011 15:01  [Source: ICIS news]

PRAGUE (ICIS)--Brachem Acquisition has sold a 14% stake in the world's largest chemical distributor, Brenntag, to institutional investors in a deal worth around €500m ($667m), the private equity investment vehicle said on Wednesday.

The sale leaves Luxembourg-based Brachem with a 36% stakeholding in the Germany-based company, it added.

It followed a deal in October 2010 in which Brachem sold a 21% stake to institutional investors for €668m.

The latest transaction involved Brenntag shares priced at €71.50 each being sold in an accelerated bookbuilding offering conducted by Goldman Sachs International.

It meant the percentage of free-floating Brenntag shares had risen from 50.4% to 64%, Brachem added.

Brachem invested in Brenntag in September 2006. In March 2010, it listed Brenntag shares on the Frankfurt stock exchange in an initial public offering (IPO).

Brachem is controlled by UK-based private equity firm BC Partners.

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By: Will Conroy
+44 20 8652 3214

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