Platinum Equity said that it has launched exclusive negotiations to acquire the high temperature solutions business (HTS) of French mining company Imerys SA in a deal worth around €930 million.

The high temperature solutions business of Imerys is a provider of refractory solutions that caters to over 6,000 customers in the iron and steel, foundry, and thermal markets.

Last year, the business earned revenues of €801 million and has a workforce of nearly 2,800 people at 36 industrial sites across 16 countries.

Alessandro Dazza — Imerys CEO said: “HTS is a fantastic business, a world leader in its field, with a highly talented workforce, and it has demonstrated its potential for growth.

“We have chosen Platinum Equity for its industrial vision, open support for the management and commitment to further contribute to the HTS growth and development. This divestment is a significant milestone in the Group’s refocusing efforts around its core, high-growth specialty minerals business aligned with global mega trends.”

The products of Imerys HTS products are mainly targeted at the construction, automotive end markets, and industrial equipment which are all said to be sectors in which Platinum Equity has made substantial investments.

Besides, Platinum Equity owns various firms in the materials space, which include steel processors PNA Group, Ryerson, and Kymera.

Louis Samson — Platinum Equity partner said: “We have great respect for the Imerys team, which has been an excellent steward of the HTS business for many years. We appreciate their confidence in our ability to deliver a transaction that is opportune for everyone involved.

“Platinum’s carveout expertise and ability to manage through complex situations once again differentiated us. We are excited to add HTS to our growing pan-European portfolio and to support its new chapter of growth.”

The proposed deal, which is subject to regulatory approvals and other conditions, is likely to close by the year-end.

  Alessandro Dazza, France, high temperature solutions, Imerys, Louis Samson, Platinum Equity