CPP Investments and BC Partners announce new ownership for CeramTec
Maryam Farag
Business Operations Industry Manufacturing aquisition Business business operations Economy manufacturer manufacturing
Canada Pension Plan Investment Board, through its wholly owned subsidiary, CPP Investment Board Europe S.àr.l, and BC Partners, announced an agreement to jointly acquire CeramTec, from existing owner BC European Capital X and its co-investors.
CeramTec is a global MedTech platform and provider of ceramics for medical implants and bespoke industrial solutions, with 21 production sites and over 3,500 employees across 11 countries. The company is active in two business lines: the medical business, which produces orthopedic and dental ceramic implant components, and the industrial business, which focuses on mission-critical ceramics solutions.
“We are pleased to support the next stage of CeramTec’s growth in this attractive global market, in partnership with the Company’s best-in-class management team and BC Partners, who bring deep sector knowledge. CeramTec’s unique MedTech products optimise patient outcomes, improving the lives of millions of people worldwide, and provide us with an opportunity to deliver solid long-term risk-adjusted returns for CPP contributors and beneficiaries.” said Hafiz Lalani, Managing Director, Head of Europe, Direct Private Equity, CPP Investments.
CPP Investments and BC XI will each hold a 50 per cent stake in the company. The capital contribution by CPP Investments in CeramTec will be approximately €800 million. Existing investors, the Public Sector Pension Investment Board and Ontario Teachers’ Pension Plan Board, which invested in CeramTec as part of a consortium alongside BC Partners in March 2018, will exit their direct investments.
“We are excited to continue working with the team at BC Partners, whose support since 2018 has enabled us to successfully expand our product range as we diversify our MedTech footprint. Moreover, we are delighted to welcome our new partners in CPP Investments, whose sector expertise and strategic counsel we have already been impressed by. We believe that together we are well-positioned to continue working towards our aim of being the undisputed global leader in high-performance ceramics in the eyes of our customers.” said Hadi Saleh, Chief Executive Officer, CeramTec.
