ICI Composites, Inc. and Fiberite Europe GMBH
Divested by Imperial Chemicals Industries, PLC

Discreet and expeditious sale enables seller to divest division incompatible with future growth plans...

Imperial Chemical Industries (ICI) had been chartered during the 19th century by the British Government to help locate and exploit lucrative opportunities for Britain's chemical industry throughout the British Empire. ICI had grown into one of the world's largest diversified chemical manufacturers, from the raw products taken directly from mines, to producing the final industrial and consumer products. However, by the mid 1990's, ICI had decided to move away from commodity chemicals and small markets to focus on high margin and large growth markets, particularly broad industrial applications and pharmaceuticals.

ICI Composites and Fiberite were leading manufacturers of advanced composite materials for the aerospace industry, and were considered high-value-added manufacturers. However, ICI considered the market for these manufacturers small, and outside of its future core competencies. They decided to sell and had a major investment banking firm conduct a large public auction. This auction produced a serious buyer who was unable to raise the necessary financing to close the transaction.

My firm had already sold a company with Valufinder's assistance and they had remained in contact with us about some of our other holdings. When we had a smaller division to divest, we decided to sell it ourselves and contacted Valufinder. Other than a small group of possible strategic buyers, we did not know the current market of buyers and Valufinder offered to help us identify additional buyers. They simply did an outstanding job. Not only did they introduce us to a superior group of aggressive buyers, Valufinder then went on to assist and coordinate the exchange of materials, follow up, and negotiations to make sure that the process maintained its momentum. I would commend Valufinder to anyone in the business of mergers & acquisitions. Derek Kirk
Mergers & Acquisitions
Imperial Chemical Industries

Valufinder, aware of the failed auction, contacted ICI's corporate development group about the possibility of selling. We were informed that, while they still wanted to sell in the long term, they were sensitive about the failed auction and any possible divestiture was on indefinite hold. However, if someone came knocking on their door who had both industry expertise and no financing contingency, ICI might be willing to have an exploratory introductory meeting. Above all the process had to be confidential.

After thoroughly examining several hundred screened buyers from a universe of several thousand, Valufinder identified a buyer who could meet both of ICI's criteria. We were able to arrange a meeting for the partnership of Carlisle Enterprises and DLJ Merchant Banking with ICI. Carlisle had managing partners who had previously been senior managers in the composite industry, and they had partnered with DLJ Merchant Banking, which had the financial resources. Based on all indications, the partnership was anxious to do a deal.

The transaction was discreetly and quickly completed to the satisfaction of both sides. Valufinder initiated the transaction and facilitated the process up to and through the closing.

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