February 10 2014
Translink advises Ronda in €100m transaction for the sale of Inox Tech to SeAH Steel of Korea
Translink Strempel & Co. announces the contract signing for the sale of Inox Tech SpA, Italian producer of special steel pipes for the oil and gas sector, to Korean multinational SeAH Steel Corporation.
Translink acted as the exclusive financial adviser of the seller, Ronda SpA, with a team composed of Mauro Bussotti (Associate Partner), Alberto Parisi Presicce (Partner), and Giovanni Galli (Analyst).
SeAH was chosen as the best buyer after a thorough selection made by Translink among over 20 potential partners in different countries and continents. Inox Tech was valued at EUR87m (Enterprise Value). In addition, SeAH acquired for an undisclosed amount the real estate utilized by the company.
Headquartered near Venice in Lendinara and with a production plant in China, Inox Tech is one of the only 6 producers in the world of special pipes made of stainless steel with high nickel alloy. All pipes are made to order for large engineering contractors and the major oil companies in the world. Due to their corrosion resistant properties, they are used in the first phases of oil and gas extraction and refining, when the oil is highly corrosive; or in the process of gas liquifying or regassifying, when temperatures are extremely low (-160°).
SeAH Steel expects the acquisition of Inox Tech, which has revenues of about EUR100m almost entirely from exports, to help capture the rapid growth and demand of special steel pipes in emerging markets. Following the acquisition, SeAH is expected to accelerate into the Clad pipe market, which is currently monopolized by a limited number of global leading companies. SeAH is also expected to have market competitiveness by expanding product portfolio from general wide use to high-value added products.
“We are very proud that this transaction has created value for all the Italian companies involved – declared Mauro Bussotti. After the transaction, Ronda will continue to design and produce the sophisticated machinery needed for the production of special pipes by Inox Tech. Inox Tech, on the other hand, will have a solid partner and new resources to continue growing and increase the complexity of its products and breath of its market coverage. Mattia Agnoletto, current CEO of Inox Tech, will retain his responsibilities and Giuseppe Poggio, Board Member and previous CEO, will also have a wider role within SeAH Group”.
Translink Strempel and other international offices of Translink Corporate Finance have acted as advisers in over 50 Mergers & Acquisitions in the last twelve months.
Press OfficeCristina Fagioli
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- “I’m very glad about this win-win strategic cooperation with Kiwa. BCC will further enrich its competitiveness in the certification business and enter into the lab testing field as new growing points. Meanwhile, BCC provides a solid foundation for Kiwa to expand into the China and Asia Pacific market. We also thank Translink CF for introducing such a high quality strategic partner to BCC. Even though Translink is advisor for the buy side, they acted fairly and were very experienced and managed professionally throughout the whole process.
Chairman of BCC Inc
- "The Translink team executed the entire transaction process. I can warmly recommend them for any Corporate Finance-assignments"
Chairman of the Board, Anneli Koivunen,
- "Translink’s advisory ensured successful sales process completion with the terms that satisfied all the owners."
CEO and founder, Tomi Pulkki,
- "Translink Peakstone’s thoughtful guidance and dedication throughout the entire process were critical to achieving a very successful outcome that met all of our transaction objectives."
CEO, Mike Gibney,
- "Translink is a determined advisor. The outcome of the transaction was in line with our expectations. I believe the transaction will ensure Amomatic even better chances for continuous growth and development"
Former Chairman of the Board,
Olavi Ruokonen, Amomatic Oy