The deal provides an exit for Asian private equity firm Unitas Capital and U.S. firm CCMP Capital. The two private equity firms own 84% of Edwards Ltd. They invested in the vacuum solutions provider back in 2007.
Atlas Copco will pay up to US$10.50 per share for Edwards. Edwards’s shareholders will initially receive US$9.25 per share. Once the audited 2013 income statement is final, an additional payment of up to US$1.25 per share will be made according to the revenue and EBITDA performance.
Atlas Copco will use existing funds within the company. The transaction is expected to close in the first quarter of 2014.
Edwards has more than 3,200 employees and is headquartered in Crawley, United Kingdom. The company had revenues of £595 million ($932 million) in 2012, of which more than half in Asia.
Established in 1999, Unitas Capital has US$4 billion under management with offices in Hong Kong, Seoul and Shanghai.
New York-based CCMP Capital has invested over US$14 billion in buyout and growth equity transactions since 1984.