Ratos divests subsidiary Mobile Climate Control to VBG Group (updated)

VBG AB (publ)

11/11/2016 07:28

(Adds details, background) 
    STOCKHOLM, Nov 11 (Reuters) - Swedish private-equity firm 
Ratos  RATOb.ST  said on Friday it was selling its subsidiary 
Mobile Climate Control (MCC) to industrial group VBG  VBGb.ST  
in a 1.8 billion crown ($199 million) deal.  
    * Ratos divests Mobile Climate Control to VBG Group 
    * Says divestment generates an exit gain of approximately 
SEK 250 mln, an average annual return (IRR) of approximately 10 
pct and a money multiple of 2.2x 
    * Says enterprise value amounts to approximately SEK 1,790 
mln and Ratos will receive approximately SEK 1,375 mln for 100% 
of shares 
    * MCC is global supplier of climate comfort systems to the 
commercial vehicle industry 
    * VBG says will do a rights issue of 800 mln SEK, issue 
supported by largest shareholders and secured at around 40 pct 
    * VBG's pro forma sales for 2015 rises to 2,579 mln SEK with 
the acquisition (1,315 mln) and EBITA to 293 mln SEK from 141 
mln 
    * MCC sales has grown approximately 8% per annum since the 
acquisition in 2007, and sales amounted to SEK 1,264m in 2015, 
with an EBITA of SEK 152m.  
    * Deal estimated to be closed during November 
 
Source text for Eikon:  ID:nGNE47CXwf  
Further company coverage:  RATOb.ST  
 
 
($1 = 9.0381 Swedish crowns) 
 
 (Reporting by Johannes Hellstrom) 
 ((johannes.hellstrom@thomsonreuters.com; +4687001008; Reuters 
Messaging: johannes.hellstrom.reuters.com@reuters.net)) 
 
Keywords: RATOS M&A/VBG