Ardian Enters Into Exclusivity To Become Majority Shareholder Of Drt Alongside Founding Families And Tikehau Capital

PARIS — November 30, 2017 — Ardian, an independent private investment company, has entered into exclusivity with some family shareholders and Tikehau Capital to acquire a controlling stake into Les Dérivés Résiniques et Terpéniques (DRT). The proposed transaction values DRT at approximately 1 billion euros and is fully supported by DRT’s management team which will remain in place and is headed by its CEO Laurent Labatut. This transaction would be a further step in the company’s development path as many individual shareholders and Tikehau Capital have decided to reinvest part of their proceeds alongside Ardian.

Created in 1932 and headquartered in Dax (France), DRT is a global leading producer of ingredients derived from plant-based chemistry, mainly from pine trees. In that respect, DRT fits perfectly within two of Ardian’s core verticals, namely ingredients and fine chemical. With a turnover estimated at 500 million euros in 2017, DRT is a truly international company with more than 80 percent of its business made outside of France, of which around 25 percent in the Americas and more than 10 percent in Asia. The group employs close to 1,300 people and is operating through a global footprint with four production sites located in France, two in the United States, three in India and one in China.

The two main families of ingredients produced by DRT are terpenes and rosins derivatives. They provide mainly olfactory or tackifying/stickiness properties and are used in various resilient and growing end-markets like Flavors & Fragrance, Health & Nutrition, Adhesives & Coatings, Agriculture, Chemical Intermediates and Energy. DRT has built strong positions on each of those markets thanks to its advanced innovation capabilities (more than 50 people dedicated to R&D), its close partnership with customers, its industrial process know-how with constant investment into extraction and distillation capacities, and its long-term secured sourcing of natural & renewable resources.

DRT is at the forefront of sustainable growth and development. This is a key value for Ardian, acting as a responsible investor. Through a sustainable forest management sourcing, DRT is a green-impact best-in-class player. DRT industrial processes valorize renewable resources and adhere to principles of environment-friendly practice. DRT has also invested significantly into green energy, with a biomass cogeneration plant in France satisfying the vast majority of its energy needs.

DRT has enjoyed a rapid development phase over the past few years with a strong support from Tikehau Capital. In particular, in 2016, DRT made two significant steps in the USA with the $140 million acquisition of Pinova Inc. from Symrise and the construction of a complementary new greenfield plant. Overall, over the past three years, the group has invested more than 85 million euros in organic growth projects.

Posted November 30, 2017

Source: Ardian