KPS Capital Partners has announced its agreement to acquire INEOS Composites for approximately $1.785 billion, with the deal expected to close in the first half of 2025, pending regulatory approvals. INEOS Composites is recognized as a global leader in specialty resins used in composite materials, operating 17 manufacturing facilities worldwide.

The acquisition aims to boost profitability and innovation within INEOS Composites, with KPS planning to collaborate closely with CEO Andrew Miller to enhance growth and service quality. The transaction involves a newly formed affiliate of KPS and is valued at around €1.7 billion, reflecting KPS's commitment to investing in process industries.

INEOS Composites specializes in unsaturated polyester resins, vinyl ester resins, and gelcoats, which are essential for producing plastic composites across various sectors, including building materials, recreation, transportation, and wind energy. The company offers a diverse range of resins that improve product characteristics such as corrosion resistance, fire retardance, and high strength-to-weight ratios. Headquartered in Dublin, Ohio, and Barcelona, Spain, INEOS Composites employs around 900 people and operates globally.

Raquel Vargas Palmer, managing partner at KPS, expressed enthusiasm about the acquisition, highlighting INEOS Composites' strong market position and customer base. She emphasized KPS's extensive experience in the process industries and its commitment to fostering an innovative and customer-focused culture within the company.

Andrew Miller, CEO of INEOS Composites, shared his excitement about the future under KPS's ownership, noting the firm's proven track record in developing industrial companies. He believes that KPS's focus on manufacturing excellence and investment in research and development will enhance INEOS Composites' ability to deliver top-tier products and services.

Ashley Reed, chairman of INEOS Enterprises, remarked on the significant improvements INEOS Composites has made in safety and financial performance over the past five years. He noted that the company has strengthened its market position through enhanced product quality and operational capabilities, laying a solid foundation for future growth.

Legal counsel for KPS was provided by Paul, Weiss, Rifkind, Wharton & Garrison LLP, while Piper Sandler acted as financial advisor. Slaughter and May served as legal counsel for INEOS Enterprises. The transaction is supported by committed debt financing from several major banks, including Goldman Sachs Bank USA, Barclays, Citi, Intesa Sanpaolo, and MUFG Bank.

In summary, KPS Capital Partners' acquisition of INEOS Composites marks a strategic move to enhance the company's market position and drive innovation, with both parties optimistic about the future growth potential.