Ratos and 3i have carried out a Skr1 billion (€53.5 million; $79 million) refinancing of manufacturing company DIAB.
Each private equity firm owns a 50 percent stake in DIAB, and will thus receive Skr500million each, according to a statement.
DIAB manufactures and develops blades for wind turbines, boat hulls and decks as well as components for aircraft, trains, buses and space rockets. It uses low weight and high strength materials. The company had sales of Skr1.2 billion and EBITA of Skr258 million in 2006.
After the refinancing DIAB values its stake in Ratos at Skr325 million, Ratos said.
Ratos chief executive Arne Karlsson said: “Our assessment is that the company’s future prospects remain good, and the refinancing we are now carrying out will give the company a more efficient capital structure.”
Local bank Svenska Handelsbanken provided the financing, according to 3i’s spokeswoman.
Due to liquidity problems in the global credit markets, refinancing deals have become relatively rare.
However, last week European buyout firm Bridgepoint recapitalised A-Katsastus Group, a Finnish vehicle inspection business it acquired in January 2006, with a debt facility totaling €290 million.