New York, NY (October 16, 2007) -- KPS Capital Partners, LP ("KPS") announced today that it signed a definitive agreement to buy the worldwide metals business of Olin Corporation (NYSE: OLIN), through the operating subsidiary of a newly formed company, Global Brass and Copper Holdings, Inc., for $400 million. The price, which is payable in cash, is subject to a customary working capital adjustment.
The metals business, which generated revenues of $2.1 billion in 2006, includes all of Olin Corporation’s active metals operations, comprised of manufacturing facilities in East Alton, Illinois; Montpelier and Bryan, Ohio; Waterbury, Connecticut; and Cuba, Missouri, joint ventures in Japan and China, as well as the A. J. Oster metals service center business. Global Brass and Copper Holdings, Inc. and it subsidiaries will sell products under the Olin Metals, Olin Brass, and Chase Brass brand names.
The acquisition, which is subject to HSR clearance, is expected to close in the fourth quarter of 2007.
About KPS Capital Partners
KPS, through its affiliated management entities, is the manager of the KPS Special Situations Funds, a family of investment funds with approximately $21.4 billion of assets under management (as of September 30, 2024). For over three decades, the Partners of KPS have worked exclusively to realize significant capital appreciation by making controlling equity investments in manufacturing and industrial companies across a diverse array of industries, including basic materials, branded consumer, healthcare and luxury products, automotive parts, capital equipment and general manufacturing. KPS creates value for its investors by working constructively with talented management teams to make businesses better, and generates investment returns by structurally improving the strategic position, competitiveness and profitability of its portfolio companies, rather than primarily relying on financial leverage. The KPS Funds’ portfolio companies currently generate aggregate annual revenues of approximately $23.7 billion, operate 251 manufacturing facilities in 30 countries, and have approximately 65,000 employees, directly and through joint ventures worldwide (as of September 30, 2024, pro forma for recent acquisitions). The KPS investment strategy and portfolio companies are described in detail at www.kpsfund.com.
