8/3/2010 11:04:00 AM
NEWS BRIEFS
Acument Sells Rivet-Maker Avdel And Electronics Fastener Business To Pan-Asian Equity Firm
Deal follows global restructuring to focus on core transportation businesses
Acument’s new fastener plant in Brazil
Acument Global Technologies parent company Platinum Equity completed the sale of Acument’s Avdel and Global Electronics & Commercial (GEC) business units to Asia Trading Co. Ltd., a company owned indirectly by funds advised by CVC Asia Pacific and Standard Chartered Private Equity Limited (SCPEL). Terms were not disclosed.
Based in London, Avdel manufactures and markets blind fasteners, with operations, sales and distribution capabilities in the UK, US, Canada and Western Europe.
Singapore-based GEC manufactures and markets fastener solutions for customers in the global electronics, industrial and commercial, construction and Asia automotive segments, with operations throughout Asia, the U.S. and Australia.
“The completion of the sale is an important strategic development for Acument,” Acument communications Tim Weir told GlobalFastenerNews.com. “It… puts us in a good position to invest in – and profitably grow – our remaining businesses.”
Platinum Equity acquired Textron Fastening Systems in 2006 and renamed it Acument. Beginning in late 2008 Acument faced rapidly falling revenue caused by economic dislocation and steep declines in global automotive production, forcing the company to restructure.
Acument aggressively scaled its cost structure while working closely with customers, lenders and other stakeholders to stabilize the business and ensure continuity of supply.
In April Acument completed the sale of its French automotive business to Lisi and Agrati, as well as the French government’s “Fonds de Modernisation des Equipementiers Automobiles” (The Fund for the Modernisation of Automotive Suppliers – FMEA).
Acument emerges from its restructuring as a producer of engineered mechanical fastening products and services for the transportation market, including automotive, heavy truck and bus, off-highway equipment, military and aerospace.
“Acument is a much stronger competitor in the fastener industry today, thanks to a healthy balance sheet and a strong focus on improving operational performance,” said Acument CEO Rick Dauch. “As a result, we are now well positioned to invest in and grow our core transportation businesses.”
Acument intends to apply the net proceeds from the sale to the company’s loans outstanding under our Term Loan Agreement and Revolving Line of Credit.
Going forward, Acument will be made up of the North and South America business units, the Aerospace & Defense business unit, the Aprilia, Italy, facility (which was not included in the sale due to its traditional threaded fastener product emphasis) and Acument Germany, which continues to operate under Insolvency.
The company has more than 2,600 employees at facilities in North America, South America and Europe. Web: acument.com
CVC Capital Partners, based in Luxembourg, is a leading global private equity firm with over US$35 billion in funds raised focused on management buyouts. CVC was founded in 1981 and today has a network of 19 offices throughout Europe, Asia and the United States. Since 1981, CVC has completed over 250 investments across a wide range of industries and countries.
CVC Asia Pacific has been one of the most active private equity investors in the Asia-Pacific region and has completed 29 investments, for a total transaction size of US$19 billion, covering Greater China, Southeast Asia, Korea, Japan, and Australia. ©2010 GlobalFastenerNews.com
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