EQT Finland backs Larox MBO

EQT Finland has established a joint venture to acquire Larox Corporation in a public-to-private deal.

EQT Finland, a Finnish private equity fund, has announced details of an agreement with the majority shareholders of Larox Corporation to take the company private.

EQT and the Vartiainen family, which currently controls 62 per cent of the filters and process equipment manufacturer, have formed Xoral Oy, a 50-50 joint venture, which will make a public tender offer for the Helsinki-listed company. The price offered will be E8.50 per B-share, and the tender period will begin on February 25th 2002.

The deal, which values Larox at around E17m, will see the Vartiainen family reduce its holding in Lorax to 50 per cent, with EQT Finalnd acquiring the remaining 50 per cent.

EQT is a group of private equity funds with equity commitments exceeding E3bn. Since its inception in 1994, EQT has successfully concluded investments in 27 companies and made 6 exits. EQT Partners, acting as investment advisor to all EQT funds, has offices in Stockholm, Copenhagen, Helsinki and Munich.