Golden Gate buys industrial silica producer for $337m

The San Francisco-based private equity firm acquired US Silica from Harbinger Capital Partners in a deal including more than $102m in debt.

Golden Gate Capital has acquired industrial sand processor US Silica from Harbinger Capital Partners in a $337 million transaction.

The San Francisco-based private equity firm committed $200 million of equity and mezzanine financing to fund the buyout and support the future growth of the company, it said in a statement.

BNP Paribas arranged $102 million senior debt financing and Wachovia provided a $35 million revolving credit facility, the firm said.

Harbinger, which bought the company a year ago, netted $313 million in the deal, the firm said in a statement, including dividends and less fees. 

US Silica supplies silica sand for the oil and gas, glass, foundry, chemical, recreational and construction industries, as well as ground silica for textile fiberglass and other industries and fine ground silica for paint, plastics and ceramic industries.

The company employs 675 people at 13 facilities in North America.

Golden Gate is investing from a $1.8 billion fund raised in 2004. The firm, which has about $9 billion under management, invests in technology, retail and financial services sectors.

Golden Gate bought restaurant chain Macaroni Grill for $132 million in August from publicly listed Brinker International.