Carey advises KPS Capital Partners on Innomotics acquisition financing
Carey has counselled KPS Capital Partners, a global private equity firm, acting through its subsidiary Dynamo Newco II and related companies, on the Chilean aspects of the €2,225 million (approx. US$2,342 million) financing for the acquisition of Innomotics from Siemens Group, a manufacturer of electric motors and large components.
The financing consisted of a €600 million issuance and placement of US Rule 144A and Reg S debt securities, senior credit facilities of up to €1.2 billion, and a guarantee facility of up to €425 million.
The transaction, which closed on 25 September, involved the jurisdictions of Chile, the US, Germany, the Netherlands, the Czech Republic, Australia, Norway and Canada, requiring ongoing coordination by all legal advisors to meet the demanding deadlines set by the parties. The acquisition value of Innomotics was EU3.5 billion.
Other participating firms included A&O Shearman, Fangda Partners, Gilbert + Tobin, Gleiss Lutz, Paul Weiss, Stibbe, Stikeman Elliott and Thommessen as co-advisers to KPS Capital Partners, and Loyens & Loeff and Milbank as advisers to the initial purchasers.
Headquartered in Nuremberg, Germany, Innomotics employs approximately 15,000 people and operates 16 factories across the European, Middle East, Africa, Americas and Asia Pacific regions.
Milbank’s team consisted of partner Rebecca Marques, and associates Maria Schweinberger and Dimitris Krokos.
Paul Weiss Rifkind Wharton & Garrison’s team included partner Matthew Merkle, and associates Helen Gu, James Tobin and Alexander Yeagley.
Carey’s team was led by partners Manuel José Garcés (pictured left), Fernando Noriega (pictured centre) and Roberto Villaseca (pictured right), with support from associates Diego Lasagna, Francisco Jiménez and Alejandro Toro.
