By Bill Bregar, Plastics, Plastic News Staff
Munich, Germany -- Bloomberg is reporting that Madison Capital Partners is exploring the sale of KraussMaffei Group, the world's largest manufacturer of plastics equipment.
Bloomberg reported the story on 19 June, citing people familiar with the matter, whom the news service did not identify.
Contacted by Plastics News after the story came out, KM spokesman Imre Szerdahelyi said the company would have no comment. Larry Gies, president and CEO of Chicago-based Madison Capital Partners, did not return a telephone call for this story.
Madison Capital bought the plastics machinery group, then called Mannesmann Plastics Machinery GmbH, in 2006. It included some of the plastics industry's best-known brands: KraussMaffei, Netstal, Berstorff and Demag Plastics Group (which was later sold).
Madison Capital purchased the machinery group from Kohlberg Kravis Roberts & Co. of New York, for undisclosed terms. KKR had bought MPM in 2002 from Siemens AG, the German industrial group.
Bloomberg is reporting that one of its sources is saying that initial assessments show that KraussMaffei Group could sell for as much as Euro 700 million ($883 million). The person told Bloomberg that Goldman Sachs has sent out information to potential bidders, including private equity funds and industry buyers.
The KM group generated record sales of Euro 1.1 billion ($1.5 billion) for fiscal year 2010-2011, ended last 30 Sept.
The article first appeared on our sister publication, Plastics News "