Mexichem $1.895 Million Acquisition of Netafim

Erdinast, Ben Nathan, Toledano & Co., Skadden, Arps, Slate, Meagher & Flom and Covington & Burling advised on the deal

Mexichem, S.A.B. de C.V. has reached a definitive agreement to acquire an 80% stake in Netafim, Ltd., an Israeli private company, from a company backed by the Permira Funds and other minority shareholders. Kibbutz Hatzerim, the founder, will retain the remaining 20% stake of Netafim’s share capital. The total enterprise value of the transaction is US$1.895 billion.

Netafim is the world’s largest irrigation company. In the past few years it has achieved strong financial performance, with top line growth and improving profitability, reaching total sales of US$855 million for the year ended December 31, 2016. Mexichem will fund the acquisition with a combination of cash and debt.

Based in Tel Aviv, Israel, Netafim is a global leader in developing, manufacturing and distributing advanced drip and micro-irrigation solutions, with local presence in more than 30 countries, 17 manufacturing plants, more than 4,300 employees and sales in more than 110 countries worldwide. Netafim’s advanced technologies and end-to-end solutions help growers across the world achieve higher and better crop yields while reducing usage of water and other inputs, such as manpower, nutrients and crop protection.

Covington & Burling LLP advised Mexichem, S.A.B. de C.V. with Thomas Repke (Picture), Cecile Zwiebach, Scott Naturman, Jennifer Garnett, Lauren Shor and Laura Torre.

Skadden, Arps, Slate, Meagher & Flom advised Permira with Allison Schneirov, Alexandra McCormack, Laura Kaufmann Belkhayat, Gregg Noel, Regina Olshan, Gavin White, Frederic Depoortere, Maria Raptis, Resa Schlossberg, Yossi Vebman, Christopher Barlow and Brett Fleisher.

In Israel, Erdinast, Ben Nathan, Toledano & Co. advised Permira with Doni Toledano, Roy Caner, Lior Oren, Dan Sella and Nitzan Aberbach.

 

 

 

Involved fees earner: Doni Toledano – Erdinast, Ben Nathan, Toledano & Co.; Roy Caner – Erdinast, Ben Nathan, Toledano & Co.; Lior Oren – Erdinast, Ben Nathan, Toledano & Co.; Nitzan Aberbach – Erdinast, Ben Nathan, Toledano & Co.; Dan Sella – Erdinast, Ben Nathan, Toledano & Co.; Thomas Repke – Covington & Burling; Cecile Zwiebach – Covington & Burling; Scott Naturman – Covington & Burling; Lauren Shor – Covington & Burling; Laura Torre – Covington & Burling; Allison Schneirov – Skadden Arps Slate Meager & Flom; Alexandra McCormack – Skadden Arps Slate Meager & Flom; Christopher Barlow – Skadden Arps Slate Meager & Flom; Brett Fleisher – Skadden Arps Slate Meager & Flom; Laura Kaufmann Belkhayat – Skadden Arps Slate Meager & Flom; Gregg Noel – Skadden Arps Slate Meager & Flom; Yossi Vebman – Skadden Arps Slate Meager & Flom; Regina Olshan – Skadden Arps Slate Meager & Flom; Gavin White – Skadden Arps Slate Meager & Flom; Frederic Depoortere – Skadden Arps Slate Meager & Flom; Maria Raptis – Skadden Arps Slate Meager & Flom; Resa Schlossberg – Skadden Arps Slate Meager & Flom;

Law Firms: Erdinast, Ben Nathan, Toledano & Co.; Covington & Burling; Skadden Arps Slate Meager & Flom;

Clients: Permira; Mexichem, S.A.B. de C.V.;