Navis seals HK paper chemicals deal

The firm has taken a controlling stake in Amazon Papyrus Chemicals Group.

In its sixth Greater China deal, Navis Capital Partners has acquired a majority stake in Hong Kong-based Amazon Papyrus Chemicals Group, according to a company statement.

The firm did not disclose the financial details of the investment, but said it involved Navis purchasing a significant equity interest in the business.

Amazon Papyrus supplies specialty chemicals and services to the Asian pulp and paper industry. Pulp is a fibrous material prepared by chemically or mechanically separating cellulose fibres from wood, fibre crops or waste paper.

Amazon and its existing management, which is staying on, will use the investment to accelerate its growth plans regionally and to streamline operations.

“Amazon has been successful in bringing production efficiency to an industry that has seen significant investment. We look forward to an active partnership with Amazon, where we bring our expertise to further enhance operational efficiency and development of the business,” Bruno Seghin, a partner at Navis, said in a statement.

While Navis is known for its investments in Southeast Asia, the firm has now closed six investments in Hong Kong and Greater China. Navis has previously invested in KFC Hong Kong, the Wall Street Institute Hong Kong, Trimco International, Hui Lau Shan and Trio.

In 2012, Navis exited Trimco for 10x invested capital, selling the business to fellow private equity firm Partners Group, according to the firm.

Kuala Lumpur-based Navis is now raising its seventh fund, which is targeting $1.3 billion and made a first close on $860 million in December, media reports said earlier. The fund is pan-Asian, but will maintain a strong focus on Southeast Asia and exclude India.