The Catalyst-CEL Fund, the US$200 million to US$300 million China-Israel private equity fund, has agreed to invest US$42 million in cutting tools manufacturer Lamina Technologies, according to information posted on the firm’s website.
The investment includes US$10 million for expanding the company’s global business, and US$32 million to acquire stakes from the company’s current shareholders.
Following the deal, Catalyst CEL, co-managed by Israeli investment firm Catalyst Investments L.P. and Chinese financial services firm China Everbright Limited, will become the controlling shareholder of Lamina Technologies.
The company’s founders and entrepreneurs, brothers Yuval and Amir Peleg, will remain in management positions at Lamina, and will become the second largest shareholder group.
Founded in 2001, Lamina established its first factory in Switzerland, and focuses on manufacturing cutting tools used in circuit processing for metal and machinery manufacturers.
The company says it will use the proceeds from the investment to build another factory in China.
Established in February 2014, The Catalyst-CEL Fund targets investments in mid-to-late stage Israeli companies with proven technologies to expand businesses into Greater China.
China Everbright Limited was founded in 1997 as a Hong Kong listed subsidiary of the China Everbright Group, one of largest state-owned conglomerates in China. It is an asset management and financial services company, currently managing 15 funds with over US$3.35 billion.