6 April 2017

Paragon sells Anti-Germ to Hypred

Paragon announced today, that it has entered into a definitive agreement with Hypred, a portfolio company of Ardian, to sell Anti-Germ, located in Memmingen, Germany and the Ireland-based company Medentech. Hypred and Anti-Germ join forces to create the world’s number three in biosafety (disinfection, hygiene and animal supplements) for professionals in the food industry and agriculture. The new group has a turnover of more than €180 million.

The critical size of the planned merged group provides a solid basis to face the increasing requirements customer of the regulatory authorities in order to take full advantage of the steady and resilient market growth. The industry currently experiencing a number of changes, including increasing safety standards, a need for the prevention of epidemics, strategies to reduce the use of antibiotics as well as traceability and productivity requirements. Geographically, the two companies will strengthen their presence in Europe with wider coverage and a denser network of territories.

Paragon acquired the Anti-Germ and Medentech businesses of Israel Chemicals Ltd. (ICL), a global specialty minerals manufacturer and successfully supported their way into independence. Edin Hadzic, managing partner at Paragon, commented “We are grateful for having the opportunity to support the transformation of Anti-Germ. We are proud of the development of Anti-Germ as an independent company. We are pleased to announce that Anti-Germ found in Hypred a strong partner to further drive the next step of growth. The merger of the two highly complementary companies creates considerable opportunities for employees as well as for customers. We wish all parties concerned a successful future”.

Matthias Kötter, CEO of Anti-Germ, explains, “With the support of our shareholder, Paragon, we have transformed Anti-Germ into an independent firm and become the market leader for hygiene in the agriculture, food and beverage sector. We are very pleased to now partner with Hypred, one of the key players in our industry, to start the next phase of growth.”

The transaction proposed is still subject to antitrust approval. The purchase price was contractually agreed to be kept silent.

Legal advice to Paragon was provided by Guett Olk Feldhaus (Kilian Helmreich). Lincoln International (Kai Ingo Seidel) was engaged as M&A advisor. Further assistance was provided by Ebner Stolz (Claus Buhmann).

About Anti-Germ
Founded in 1938, Anti-Germ is a European leader in the provision of disinfection and biosafety solutions especially for the food, beverage and agricultural markets. Anti-Germ is also involved in the disinfection of water with its brand Medentech. Anti-Germ is present in 16 countries worldwide and has 8 industrial sites in France, Germany, Austria, Poland, Hungary, Ireland, China and Turkey. In 2016, Anti-Germ achieved a turnover of €80 million. More information is available at www.anti-germ.com.

About Hypred

Established in 1985, HYPRED benefits from solid industrial expertise in the formulation, production and marketing of biosafety, disinfection and hygiene solutions for the food industry and agriculture professionals. HYPRED is present in more than 40 countries and employs more than 400 people. HYPRED benefits from a first-class industrial device enabling it to work with its customers throughout the world. Its own production sites or partners are located, among others, in France, Spain, Italy, Germany, Poland, Argentina, Brazil, Colombia, Peru, Turkey, United States and South Africa. In 2015, HYPRED achieved a turnover of more than €100 million. For more information, visit the company’s website at www.hypred.com.

About Paragon
Paragon is one of the leading independent private equity firms in Europe with approx. €650 million of equity under management. Paragon works closely with portfolio companies to achieve sustainable growth and operational excellence. The investment portfolio covers various industries and currently comprises 7 companies. Paragon was founded in 2004 and is based in Munich, Germany. For further information please refer to www.paragon.de.