Aquafil

M&A Activity • May 31, 2019

Informazione Regolamentata n. 1938-29-2019		Data/Ora Ricezione 31 Maggio 2019 22:42:04	MTA - Star
Societa'	:	Aquafil S.P.A.
Identificativo Informazione Regolamentata	:	119284
Nome utilizzatore	:	AQUAFILNSS02 - Tonelli
Tipologia	:	2.2
Data/Ora Ricezione	:	31 Maggio 2019 22:42:04
Data/Ora Inizio Diffusione presunta	:	31 Maggio 2019 22:42:05
Oggetto	:	Aquafil strengthens its position in the USA: acquired O'Mara Incorporated for USD 40.5 million
Testo del comunicato

Vedi allegato.

AQUAFIL STRENGTHENS ITS POSITION IN THE USA: ACQUIRED O'MARA INCORPORATED FOR USD 40.5 MILLION

Arco (Italy), May 31, 2019 – Today Aquafil S.p.A. [ECNL:IM] finalized the acquisition of 100% of O'Mara Incorporated for a total consideration equal to USD 40.5 million. The deal was completed through the Group's U.S. subsidiary, Aquafil USA Inc.

About O'MARA Incorporated

O'Mara Incorporated – founded in 1970 – produces nylon, polypropylene and polyester fibres mainly in solution-dyed colors in its plant based in Rutherford College, North Carolina. In 2018, O'Mara reported a turnover of USD 40.1 million, with margins in line with those of Aquafil Group.

Integration of O'Mara into Aquafil Group

O'Mara's identity and market positioning are fully consistent with those of Aquafil Group. This compatibility accelerates the globalization process of the textiles business, with positive consequences for ECONYL® and Dryarn ® products as well. O'Mara will provide access to a broader product range, thereby driving further development of the US market in the sectors of athletic apparel, hosiery, fashion and accessories.

As a result of the production activity in the USA, the Group will benefit also from the trade agreements between the US federal government and certain Central and South American countries (CAFTA), which allow for exemptions from US tariffs on apparel produced in the latter countries using yarns of US origin.

The transaction

Aquafil S.p.A. funded the acquisition through a privately placed bond subscribed by Pricoa Capital Group, a member of the US insurance group Prudential Financial Inc., for a total amount of €40.0 million, with a term of ten years, including an initial interest-only period of three years, and an annual fixed rate of 1.87%.

* * *

Aquafil is a pioneer in the circular economy also thanks to the ECONYL® regeneration system, an innovative and sustainable process able to create new products from waste and give life to an endless cycle. The nylon waste is collected in locations all over the world and includes industrial waste but also products - such as fishing nets and rugs - that have reached the end of their useful life. Such waste is processed to obtain a raw material – caprolactam - with the same chemical and performance characteristics as those from fossil sources. The polymers produced from ECONYL® caprolactam are distributed to the Group's production plants, where they are transformed into yarn for carpet flooring and for clothing.

Founded in 1965, Aquafil is one of the main producers of nylon in Italy and worldwide. The Group is present in eight countries and in three different continents, with over 2,800 employees at 16 production sites located in Italy, Germany, Scotland, Slovenia, Croatia, Unites States, Thailand and China.

For further information

Barabino & Partners IR T: +39 02 72.02.35.35

Stefania Bassi s.bassi@barabino.it mob: +39 335 6282.667

Agota Dozsa

a.dozsa@barabino.it mob: +39 338 7424.061

Investors Contact Karim Tonelli investor.relations@aquafil.com mob: +39 348 6022.950

Media Contact Barabino & Partners T: +39 02 72.02.35.35 Federico Vercellino f.vercellino@barabino.it mob: +39 331 5745.171