Shearman & Sterling is advising Deutsche Beteiligungs AG (DBAG) and funds advised by DBAG on the acquisition of Pfaudler Process Solutions Group (Pfaudler), a part of National Oilwell Varco, Inc. (NOV). The transaction is still subject to merger clearance and is expected to be completed quickly.
Headquartered in Schwetzingen, Pfaudler operates a global business with approximately $200 million of annual sales and 1,450 employees manufacturing in facilities around the world (Germany, Italy, the UK, the US, Brazil, China and India). Pfaudler produces glass-lined containers and components for the chemical and pharmaceutical industry, including after-sales services as well as complete engineered systems based on its own products.
DBAG is a listed private equity investor with a focus on well-positioned industrial companies of the German Mittelstand and is currently managing assets of approximately €1.3 billion.
A special challenge of the transaction was the complexity of Pfaudler's structure, with subsidiaries in more than 10 jurisdictions. Shearman & Sterling advised DBAG with a multi-jurisdictional and multi-disciplinary team on all aspects of the acquisition and the financing of the transaction with various financing components. In India, where the acquisition triggers the requirement to make a public offer to the minority shareholders of a listed Pfaudler subsidiary, Khaitan & Co is acting as co-counsel.