EQT Personal Fairness to accumulate Zeus, a world chief in superior polymer parts utilized in life-saving medical procedures

The EQT X fund (“EQT”) and Zeus Firm, Inc., in the present day collectively introduced that they’ve entered into an settlement for EQT to accumulate Zeus Firm Inc (“Zeus” or the “Firm”) from the Tourville household. Based in 1966, Zeus is a pioneer within the design, growth, and extrusion of fluoropolymer tubing for medical gadgets and choose industrial purposes. EQT additionally introduced that John Groetelaars, former CEO of Hillrom and EQT Industrial Advisor, will function Zeus’ Govt Chairman upon closing of the transaction.

For greater than 50 years, Zeus has delivered modern and mission-critical parts that enhance the efficacy and efficiency of extremely complicated catheters, that are utilized in life saving, minimally invasive medical procedures, amongst different purposes. The Firm is headquartered in Orangeburg, South Carolina, with eight services throughout the USA and one in Letterkenny, Eire. Zeus employs roughly 2,400 folks globally and serves over 300 prospects in additional than 100 nations, together with main medical machine producers, contract machine manufacturing organizations, educational establishments, and industrial prospects throughout aerospace, semiconductors, and automotive, amongst different industries.  

Zeus’ parts allow the supply of minimally invasive interventional procedures, which drive considerably higher well being outcomes than conventional open surgical procedures, together with sooner affected person restoration and lowered ache, at decrease value. Zeus has skilled substantial progress as a number one innovator in polymer-based options. As populations age and persistent circumstances turn out to be extra prevalent, rising demand for precision, high-performance catheters to help therapeutic areas together with structural coronary heart, peripheral and neurovascular interventions, is predicted to proceed fueling Zeus’ progress.

EQT will help Zeus with investments in extra capability, R&D, and operational excellence, to help the quickly rising medical fields that leverage minimally invasive applied sciences. These investments will allow the Firm to proceed its legacy and status of partnering with its shoppers’ analysis and growth teams to stay on the forefront of subsequent technology applied sciences.

Ethan Waxman, Accomplice inside EQT Personal Fairness’s Advisory Group, stated: “EQT has tracked the medical machine element trade intently for a number of years, and we consider Zeus is uniquely positioned throughout the finish markets it serves resulting from its unmatched materials science and course of experience. We’re excited to companion with the Firm and spend money on its subsequent part of progress, its workers, and the communities it serves, whereas sustaining Frank Tourville Sr.’s values and dedication to excellence, that are shared by EQT.”

Steve Peterson, President and CEO of Zeus, added: “We’re excited to hitch the EQT household. Zeus has gained important momentum in recent times resulting from a strategic international enlargement plan. This acquisition accelerates that momentum and progress by supporting future enlargement, new product innovation, course of enhancements, technological transformation, and enhanced capabilities.”

John Groetelaars stated: “I’m thrilled to embark on this journey with Zeus and EQT to construct upon the Firm’s spectacular legacy and best-in-class, differentiated product portfolio. We’re dedicated to strengthening the partnerships with the purchasers that Zeus serves and increasing capability by means of investments, operational upgrades, and progress from new product improvements. Within the near-term, we intend to develop services and add personnel to extend manufacturing on behalf of our prospects, and we’re excited to keep up our standing as a key employer in the communities the place we function.”

As one of many world’s main healthcare traders, EQT invests in modern firms which are addressing a few of the most important challenges in healthcare in the present day, starting from life science startups to scaled international companies,” stated Eric Liu, Accomplice, Head of North American Personal Fairness and Co-Head of International Healthcare. “This acquisition represents a extremely thematic funding for EQT, given our longtime deal with the medical expertise trade and our expertise partnering with family-founded companies. With EQT’s deep experience and broad community of advisors within the healthcare sector, we look ahead to persevering with our observe report of making differentiated worth for all stakeholders.”  

The transaction is predicted to shut in Q1 2024, topic to regulatory approvals and customary closing circumstances.

Piper Sandler Firms acted as monetary advisor to EQT Personal Fairness and Simpson Thacher & Bartlett LLP supplied authorized counsel. Goldman Sachs & Co. LLC acted as monetary advisor to Zeus and Freshfields Bruckhaus Deringer LLP supplied authorized counsel. The Personal Credit score enterprise inside Goldman Sachs Asset Administration will function the Administrative Agent and lead lender within the Senior Secured financing to help the transaction.

With this transaction, EQT X (goal fund dimension of EUR 20.0 billion and a tough cap of EUR 21.5 billion) is predicted to be 25-30 % invested (together with closed and/or signed investments, introduced public gives, if relevant, and fewer any anticipated syndication) primarily based on its goal fund dimension.