© Copyright Acquisition International 2025 - All Rights Reserved.

Article Image - Mountain Capital Acquires Zep
Posted 15th April 2015

Mountain Capital Acquires Zep

Zep Inc. Enters into Definitive Agreement to Be Acquired by New Mountain Capital

Mouse Scroll AnimationScroll to keep reading

Let us help promote your business to a wider following.

Mountain Capital Acquires Zep

Zep Inc. Enters into Definitive Agreement to Be Acquired by New Mountain Capital

View Biography
New Mountain Capital

View Biography
Image

Acquirer

Target

Zep Inc., a leading consumable chemical packaged goods company that manufactures a wide variety of high-performance maintenance and cleaning chemicals, and New Mountain Capital, a leading growth-oriented private equity firm, announced that they have entered into a definitive merger agreement under which a fund managed by New Mountain Capital, L.L.C. will acquire all outstanding shares of Zep Inc. common stock for $20.05 per share in cash. The transaction is valued at approximately $692 million, including net debt.

Under the terms of the agreement, Zep Inc. stockholders will receive $20.05 in cash for each share of Zep Inc. common stock they own. The purchase price represents a 23% premium to Zep Inc.’s 90-day volume weighted average stock price for the period ended April 7, 2015. The agreement was unanimously approved by Zep Inc.’s Board of Directors.

“During the past year, we conducted a thorough review of strategic opportunities to enhance value for all stakeholders, and we are pleased to have reached this agreement, which we believe delivers immediate and substantial cash value to our stockholders,” said John K. Morgan, Chairman, President and Chief Executive Officer of Zep Inc. “We also are confident that this transaction will allow Zep Inc. to continue to deliver the high quality products and services our customers have come to expect from us as well as provide additional opportunities for our associates from future growth and business building. New Mountain Capital is a strong investor with a proven track record as a business builder with substantial resources and expertise, and we look forward to continued success as a private company under their ownership.”

“Zep Inc. is an industry leader with significant growth potential and fits perfectly with New Mountain Capital’s investment philosophy of investing in market leaders in sustainable growth industries,” said Matthew S. Holt, Managing Director of New Mountain Capital. “We look forward to joining with the Zep Inc. management team and all of the company’s talented associates as we continue to serve Zep Inc.’s global customer base.”

The acquisition is subject to customary closing conditions, including receipt of stockholder and regulatory approvals. The definitive agreement also contains a go-shop provision under which Zep Inc. may solicit alternative proposals from third parties during the next 30 calendar days on customary terms and conditions for transactions of this nature. The Zep Inc. Board, with the assistance of its advisors, has the right to actively solicit acquisition proposals during this period. There can be no assurances that this process will result in any alternative transaction. The acquisition requires the affirmative vote of holders of a majority of the outstanding shares of the Zep Inc. common stock, which will be sought at a special meeting of shareholders. New Mountain Capital has received fully committed debt financing in connection with the acquisition and the acquisition is not subject to a financing condition. The transaction is currently expected to close in the third calendar quarter of 2015.

Categories: M&A, Strategy


You Might Also Like
Read Full PostRead - Eye Icon
The Best Kept Secrets  Around Successful  Post-merger Integration
Finance
06/05/2015The Best Kept Secrets Around Successful Post-merger Integration

Its common wisdom, proven by hundreds of studies, that roughly half of all mergers fail to generate their cost of capital.

Read Full PostRead - Eye Icon
How to Create a Product to Sell Online in 5 Simple Steps
News
01/09/2023How to Create a Product to Sell Online in 5 Simple Steps

Considering entering the exciting world of ecommerce with an amazing new product? Whether you’re a budding entrepreneur or an established business looking to expand your online presence, this article will walk you through the essential steps to transform

Read Full PostRead - Eye Icon
What to Do After a Workplace Injury
Legal
22/04/2022What to Do After a Workplace Injury

Following an injury at your workplace, you have the right to workers' compensation benefits to cater for your medical bill, lost wages, and possible disability. Nevertheless, it's challenging to know what to do when you're ill or injured.

Read Full PostRead - Eye Icon
Silverfleet Capital to Acquire Sigma Components
M&A
04/05/2016Silverfleet Capital to Acquire Sigma Components

Silverfleet Capital, the European private equity firm, has today announced its agreement to acquire a majority stake in the aerospace division of Avingtrans Plc (“Sigma Components” or “Sigma”), a UK precision engineering components manufacturer for the

Read Full PostRead - Eye Icon
Empowering Individuals to Live a Life They Choose to Lead
Strategy
30/08/2019Empowering Individuals to Live a Life They Choose to Lead

Angel Heart Home Care provides support for vulnerable adults who are wanting to live independently within the community. Following their success in AI’s Global Excellence Awards 2019 where they were recognised as the Best Luxury Home Care Services Providers,

Read Full PostRead - Eye Icon
Top Four Dynamics 365 Products to Help You Elevate Customer Service
News
17/02/2025Top Four Dynamics 365 Products to Help You Elevate Customer Service

Delivering excellent customer service before and after a sale is essential for any business, regardless of its size, specifics, or market niche.

Read Full PostRead - Eye Icon
Defense Experts in the Areas of DNA Profiling
Innovation
26/11/2018Defense Experts in the Areas of DNA Profiling

Dean A. Stetler and Associates, Inc provides their expertise and knowledge of biological science, particularly of DNA profiling, to criminal defenses. Recently, we profiled both Dean Stetler and Dean A. Stetler and Associates, Inc to discover more about the aw

Read Full PostRead - Eye Icon
The Pros and Cons of Investing in Gold
Finance
12/08/2022The Pros and Cons of Investing in Gold

Amongst increasing living costs and high levels of inflation, one of the last things on our minds might be investing in gold. However, there are some pretty convincing reasons as to why you should. Capable of transforming Victoria in the gold rush, gold manage

Read Full PostRead - Eye Icon
BCMS boosts Asia Pacific presence with Hong Kong office launch
Strategy
30/03/2015BCMS boosts Asia Pacific presence with Hong Kong office launch

BCMS boosts Asia Pacific presence with Hong Kong office launch.



Our Trusted Brands

Acquisition International is a flagship brand of AI Global Media. AI Global Media is a B2B enterprise and are committed to creating engaging content allowing businesses to market their services to a larger global audience. We have 14 unique brands, each of which serves a specific industry or region. Each brand covers the latest news in its sector and publishes a digital magazine and newsletter which is read by a global audience.

Arrow