One51 to proceed with public offering – confirms CapVest deal not on agenda
Dublin-headquartered plastics group One51 intends to press ahead with its initial public offering (IPO) after discussions with CapVest Partners regarding a possible offer for the company ended without agreement.
CapVest had been offering a bid of €2.50 a share in cash for the company.
In confirming that it would hold an extraordinary general meeting of the company on 6 December to proceed with an IPO and Listing in 2018, the company confirmed that it was no longer in talks in relation to a possible offer for it.
As part of the IPO the company, which employs around 1,700 people in Ireland, the UK, North America, and China, said that it plans to re-brand itself as IPL Plastics.
One51 confirmed that it has received an undertaking from its majority shareholder, the Canadian investor CDPQ, which owns approximately 26.47pc of the company, to vote in favour of the proposed EGM resolutions.
The reorganisation would involve the minority shareholders in IPL (CDPQ and FSTQ, a Canadian development capital fund) exchanging their equity investment in it for One51 shares. This would be implemented in conjunction with an IPO and Listing or earlier, if agreed.
In results announced in August, revenue at One51 jumped 32.4pc to €225.8m in the first half of 2017.
Earnings before interest, tax, depreciation and amortisation (EBITDA), excluding discontinued operations, soared 31pc to €32.4m in the period.
The company said at the time that its performance in the first six months of the year was boosted by strong organic growth in IPL, its Canada-based North America plastics unit.
A six-month contribution from Encore Industries, which One51 acquired last November for €32m, also supported the first-half performance.
One51, whose chief executive is Alan Walsh, has completed its transformation from being a waste management firm to one that now focuses exclusively on the manufacture of rigid plastics used for packaging, environmental containers and industrial products.