CVC to Buy Acordis from Akzo Nobel.(Brief Article)

Chemical Week, August, 1999 by Alperowicz, Natasha

Private equity capital group cvc Capital Partners (London) has bid E825 million ($889 million) for Akzo Nobel's fibers business, Acordis (Derby, U.K.).

CVC would acquire 100% of Acordis and would allow Akzo to buy back up to 21%, an option sources say Akzo will exercise. "CVC's proposal fits our strategy of establishing Acordis as an independent company," says Akzo chairman Cees van Lede. Akzo has agreed to lend CVC E150 million to help finance the deal.

Acordis CEO Folkert Blaisse says the transaction will "put an end to a period of uncertainty for our employees, and we are looking forward to building Acordis into the world fibers leader." Akzo has scrapped plans to float Acordis with about Dfl1 billion ($500 million) of debt. Akzo will sell Acordis...

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