CMS Reich-Rohrwig Hainz Advises Polypore International, Inc. on 120-Million-Dollar Deal
CMS Reich-Rohrwig Hainz has advised Polypore on the sale of the Microporous unit, especially providing legal advice on merger control, Austrian aspects of the takeover documentation and the reorganisation of the Austrian target companies.
A few days ago, the sale of the Microporous business unit was completed with support by CMS. Microporous, a business unit of Polypore International, Inc. specialised in the production of high-tech membranes used in lead-acid batteries, was sold to Seven Mile Capital Partners, a private equity company based in New York, for USD 120 million. CMS Reich-Rohrwig Hainz (in cooperation with the CMS office in Düsseldorf) advised Polypore on all European aspects.
The time-sensitive reorganisation (merger) of the Austrian target companies was at the heart of the legal support provided. Headed by Johannes Trenkwalder, lawyers of CMS Reich-Rohrwig Hainz advised Polypore on this aspect. Clemens Grossmayer, Kai Ruckelshausen and Sibylle Novak were further members of the CMS expert team, who also consulted the client on Austria-specific aspects of the required takeover documentation. This international transaction was highly significant for Austria: Daramic Austria GmbH is one of the two divisions sold. This means that the sale of Microporous not only concerns the US production sites, but also the Austrian business based in Carinthia.
Federal Trade Commission confirms takeover
Polypore International, Inc. is one of the global leaders in the manufacturing of microporous membranes, which are put to use in the industry, electronic as well as medical devices. Battery separators are among the most important products of the Microporous portfolio. They are an essential part of lead-acid batteries, which are used in most vehicles today. Polypore is listed on the New York Stock Exchange. It acquired Microporous almost six years ago. The recently completed sale follows a decision by the Federal Trade Commission, which challenged Polypore’s 2008 acquisition of Microporous as being anticompetitive. An FTC-approved buyer was found in Seven Mile Capital Partners and the sale ordered for competitive reasons could be completed.