Altor picks up Norican from Mid Europa

This is the second deal that Altor has made from its Fund IV, which closed on €2bn in July

Mid Europa Partners, a private equity firm focused on Central and Eastern Europe, has agreed to sell its stake in Norican Holdings, a Danish provider of metallic equipment to Altor, a Nordic-buyout firm.

Financial details of the transaction were undisclosed. Nordea, SEB and Swedbank provided debt financing for the deal, which is subject to regulatory approvals. Both Mid Europa and Altor declined to comment beyond the statement.

Norican is a global provider of a broad equipment and services portfolio to the metallic parts formation and preparation industries. The company has approximately 15,000 active customers in almost 100 countries. Norican, which has more than 2,200 employees, has a divisional headquarter in Altrincham, UK and production in Denmark, China, India, US, Mexico, Germany, Czech Republic, Poland and France.

Mid Europa acquired US-based surface preparation and finishing equipment specialist Wheelabrator Group in 2006. It then merged the business two years later with DISA, a player in the global moulding and metal surface preparation markets to form Norican. The firm made the investment using capital from its Emerging Europe Convergence Fund II, a €650 million vehicle it raised in 2006.

“The group has successfully steered through the global financial crisis and is now well positioned to capitalise on the global industrial recovery,” Zbigniew Rekusz, a senior partner at Mid Europa, said in the statement.

Altor made the investment from its latest Fund IV, a €2 billion vehicle that closed in July, after spending just three months in market. This is the second investment from that fund. Earlier this week, Altor acquired 10 million shares in Spectrum, an Oslo-listed service provider.