Close Switcher
Global Page
Asia-PacificEuropeIndiaNorth AmericaSouth AmericaMexico
BeneluxGermanyRussiaSlovakiaSpain
MCS World
09/03/2018

Messer and CVC Fund VII acquire Assets in the Americas from Linde

Bad Soden, Germany. - The industrial gases specialist Messer and CVC Capital Partners Fund VII (“CVC”) concluded an agreement with Linde AG to acquire the majority of Linde’s gases business in North America and certain business activities in South America.

With approximately 5,100 employees, the acquired North and South American companies generated 2017 revenues of USD 1.7 billion (EUR 1.4 billion) and EBITDA of just over USD 360 million (EUR 305 million). The purchase price of USD 3.3 billion (EUR 2.8 billion) will be subject to customary adjustments at closing. The transaction is subject to the completion of the planned merger of the two industrial gases firms, Praxair and Linde, and the approval by the relevant cartel authorities.

The joint venture between Messer and CVC Fund VII will be named MG Industries and will operate under the Messer brand. As part of the transaction Messer, the world’s largest privately managed specialist for industrial gases, will contribute its Western European operating companies into MG Industries. These operations in Spain, Portugal, Switzerland, France, Benelux, Denmark and Germany employ 780 people and generated 2017 revenues of EUR 334 million. With 5,675 employees worldwide, Messer achieved 2017 revenues in excess of EUR 1.2 billion.

‘In creating this strategic partnership, we are seizing a unique opportunity to return to the North and South American markets and create a global player in the industrial gases sector’, said Stefan Messer, owner and CEO of the Messer Group, with headquarters in Bad Soden, Germany. In the course of its restructuring in 2004, the Messer Group sold its North American holdings to the French Air Liquide SA. ‘Through our industry expertise and strong engineering and application know-how, as well as the operational expertise and global network provided by CVC, we will continue to grow the acquired businesses together with its highly experienced and motivated employees.’

Alexander Dibelius, Managing Partner and Head of DACH at CVC added: ‘This is an exciting opportunity to create a new global player in the attractive industrial gases sector. We are delighted to be partnering with Messer and the Messer family with whom we have a long-standing, trusted relationship for years. Their engineering competencies and application know-how will, amongst others, be critical aspects in further growing the acquired businesses in the future.’

Captions:
Messer and CVC Capital Partners Fund VII concluded an agreement with Linde AG to acquire the majority of Linde’s gases business in North America and certain business activities in South America.
The joint venture between Messer and CVC Fund VII will operate under the Messer brand.

MESSER CUTTING SYSTEMS: THE APEX OF TECHNOLOGY FOR MORE THAN 100 YEARS

Messer Cutting Systems is a global supplier of cutting edge technology. The company offers products and services for the metalworking industry which set standards world-wide. As market leader in its branch, the machine manufacturer supplies complete solutions and concentrates strategically on advising its customers and customer oriented innovation. Here, the company focusses on the digitalisation of processes and products. Messer Cutting Systems is represented with more than 800 employees in 5 main locations with production facilities and in more than 50 countries.

The product range includes oxyfuel, plasma and laser cutting systems from hand guided machines right up to special machines for shipbuilding as well as machines and equipment for oxyfuel welding, cutting, brazing, soldering and heating. Spare parts, repairs, modernisation, maintenance and service as well as environmental technology round out the product portfolio. In-house software solutions optimise production and business processes. The product range is extended by solutions from technology partners, for example in the field of automation.

An intensive dialogue with our customers has prime position – the modern training centre makes this claim clear. World-wide, Messer Cutting Systems is the partner of choice for cutting systems, oxyfuel technology and customer consultancy.