The Urethane Blog

EQT Hopes to Acquire Azelis

EQT Granted Exclusivity to Acquire Azelis, a Global Distributor of Specialty Chemicals and Food Ingredients

STOCKHOLM, June 19, 2018 /PRNewswire/ —

  • EQT VIII, with PSP Investments as co-investor, is in exclusive discussions to acquire Azelis, a leading distributor of specialty chemicals and food ingredients with a global presence in more than 40 countries
  • Azelis provides a diverse range of products and innovative services to more than 43,000 customers and 2,000 principals
  • EQT VIII to support Azelis’ continued growth by leveraging EQT’s experience with buy-and-build strategies, digital capabilities and global network of industrial advisors

The EQT VIII fund (“EQT” or “EQT VIII”), in partnership with the Public Sector Pension Investment Board (“PSP Investments”) as co-investor, has been granted exclusivity to finalize the discussions to acquire Azelis (“Azelis” or “the company”) from funds advised by Apax Partners.

Azelis was established in 2001 through the merger of Novorchem (Italy) and Arnaud (France). It has since followed an active acquisition strategy to create a leading specialty chemical distribution network in Europe. Today, Azelis supports more than 43,000 customers who benefit from its application know-how and technical support and have access to a wide product portfolio from more than 2,000 specialty raw materials producers. The company has 1,800 employees and sales of around EUR 1.8 billion.

EQT will support Azelis’ continued development by providing access to both operational and financial resources and by leveraging EQT’s expertise with buy-and-build strategies. In addition, EQT will provide digital capabilities and grant the company access to a global network of industrial advisors. Azelis’ current management team, under the leadership of Dr. Hans-Joachim Müller, will continue to lead the organization.

“Azelis holds a leading position in the attractive specialty chemical distribution space,” said Bert Janssens, Partner at EQT Partners, Investment Advisor to EQT VIII. “We have been impressed by how Azelis’ management team transformed the business from a predominantly European operator to a leading global platform. EQT looks forward to working with Hans-Joachim and his team on their continued growth journey.”

“We are constantly strengthening our capabilities to serve our key suppliers (“principals”) and our diverse base of customers,” said Dr. Hans-Joachim Müller, CEO of Azelis. “We are grateful for Apax’s support over the past three years and are excited to continue our journey together with EQT.”

EQT draws on comprehensive expertise and competence in business services. Since 1994, EQT has invested in many companies within the services sector. “EQT applies a long-term, responsible and sustainable development approach, relying on a consistent industrial logic,” explained Kristiaan Nieuwenburg, Partner at EQT Partners, Investment Advisor to EQT VIII. “Azelis will benefit from this growth-focused investment philosophy, as well as our sector expertise.”

“Strong relationships with leading private equity firms are at the core of our investment strategy, and we are excited to partner with EQT for the acquisition of Azelis,” said Simon Marc, ‎Managing Director and Head of Private Equity at PSP Investments. “Azelis is a global leader in an attractive market that has strong consolidation prospects. We are very pleased to back Azelis and its world-class management team in their next stage of growth.”

The transaction is subject to regulatory approvals and the necessary consultation with employee representatives being conducted, and is expected to close in the fourth quarter of 2018. The parties have agreed not to disclose the transaction value.

EQT Granted Exclusivity to Acquire Azelis, a Global Distributor of Specialty Chemicals and Food Ingredients