Knauf International’s $330 Million Acquisition of Armstrong World Industries


Deutsche Bank serves as lead financial advisor to AWI in connection with the transaction. Skadden, Arps, Slate, Meagher & Flom LLP serves as lead counsel to AWI in connection with the transaction.

Armstrong World Industries, Inc. (NYSE:AWI), a global leader in the design, innovation and manufacture of commercial and residential ceiling, wall and suspension system solutions, today announced that it has entered into a definitive agreement with Knauf International GmbH, to sell its EMEA and Pacific Rim businesses to Knauf for an enterprise value of $330 million, nearly 13 times adjusted EBITDA for the combined AWI and WAVE businesses. The agreement includes the businesses of the WAVE joint venture in EMEA and the Pacific Rim, as well as Armstrong France and WAVE France, for which Knauf made a binding and irrevocable offer, subject to consultation with the local works councils. AWI currently anticipates that after customary closing adjustments, taxes and fees it will realize approximately $250 million in transaction related net cash. The transaction, which is subject to regulatory approvals and other customary conditions, is currently anticipated to close in mid-2018.

The Skadden team includes: M&A partners Eric Cochran (Picture) (New York), Steven Daniels (Wilmington) and John Adebiyi (London), counsel Ani Kusheva(London) and associate Lisa Ogust (New York); Intellectual Property and Technology partner Bruce Goldner (New York); European Union/International Competition partner Frederic Depoortere (Brussels); and Tax partners Steven Matays (New York) and Alex Jupp (London).

Involved fees earner: Eric Cochran – Skadden Arps Slate Meager & Flom; Steven Daniels – Skadden Arps Slate Meager & Flom; John Adebiyi – Skadden Arps Slate Meager & Flom; Ani Kusheva – Skadden Arps Slate Meager & Flom; Lisa Ogust – Skadden Arps Slate Meager & Flom; Bruce Goldner – Skadden Arps Slate Meager & Flom; Frederic Depoortere – Skadden Arps Slate Meager & Flom; Steven Matays – Skadden Arps Slate Meager & Flom; Alex Jupp – Skadden Arps Slate Meager & Flom;

Law Firms: Skadden Arps Slate Meager & Flom;

Clients: Armstrong World Industries, Inc.;

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Author: Michael Patrini