Warwick International completes MBO from Sequa Corporation

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Clearwater Advisor

Advised by Clearwater International’s Chemical’s team, the management of Warwick International completed a buy-out, in a transaction worth £129m, backed by Close Brothers Private Equity with debt provided by RBS, HSBC, Lloyds TSB and Barclays. The deal allows management to further realise their aspirations for the business and the overall potential of the group.

Warwick International comprises two separate businesses: one a producer of chemicals for manufacturing detergents with clients such as P&G and Reckitt Benckiser; the second an international distributor of speciality chemicals. The company is headquartered in the UK with offices in Europe and the Far East.

Clearwater International initially met management in 2005, later identifying an opportunity for a management buy-out. Clearwater International introduced Close Brothers Private Equity to support the management team’s strategy for the business. Despite the challenging market conditions, Clearwater International worked closely with the management over a sustained period to help deliver the transaction. This represents Clearwater International’s ninth deal in the chemicals sector.

This complex deal involved many advisers and was made possible through Clearwater International’s sector experience and strong links within the banking and private equity community.

“Clearwater International did an excellent job in securing managements’ equity share and guiding us through the private equity investment process. Their close relationships in the private equity market were invaluable in delivering the ideal partner and financial backing for the MBO. The support of Philip Nuttalll and Nick Horrocks was greatly appreciated by myself and the management team when the financial markets were at their most difficult.”

Bob Ellis, Managing Director, Warwick International