Carlyle buys Greek chemicals business Neochimiki for $1.15 billion

The Carlyle Group has acquired Greek chemicals distribution business Neochimiki LV Lavrentiadis SA  in a deal valued at €749 million ($1.15 billion), including debt.

The private equity firm bought 73.54 per cent of Neochimiki at €19 ($29.37) a share and simultaneously launched a tender offer for the remainder of its common stock at the same price.

Carlyle, which made the purchases in a series of block deals, said it would help the company expand internationally.

It bought 20 per cent of the shares from Lavrentis Lavrentiadis, former chariman, CEO and son of the founder of Neochimiki.

Neochimiki is expanding its chemicals distribution and production business into the Balkan region.

"This is Carlyle's first investment in a Greek company and reflects our confidence in the country's strong economic growth prospects as well as Greece's position as a gateway to investment in Eastern Europe," Carlyle managing director Robert Eastern said.