Bell Gully has advised Fletcher Building on its major acquisition of United States-headquartered Formica Corporation.
Fletcher Building, New Zealand's second largest listed company, signed an agreement on 22 May 2007 to buy Formica from private equity investors, Cerberus Capital Management LP and Oaktree Capital Management LLC, for NZ$1 billion (US$750 million).
The Formica brand name is recognised globally as the leader in high pressure laminates.
A Bell Gully team of partners and lawyers led by Brynn Gilbertson and including Jayne Kirton, Murray King and Louise Hill, has been working with Fletcher Building on the transaction since October last year.
The team led a comprehensive due diligence project spanning 25 countries, requiring briefing of lawyers in those individual jurisdictions, as well as the negotiation and completion of the stock purchase agreement and the accompanying equity and debt financings.
Corporate partner Jayne Kirton led the Bell Gully team on the private placement of Fletcher Building shares to the value of about NZ$300 million and finance partner Murray King oversaw debt financing arrangements.
Brynn Gilbertson says the completion of the transaction between Fletcher Building and Formica on 2 July 2007 was a major milestone for Fletcher Building and all involved in such a significant transaction.
"We've had the pleasure of working with the Fletcher Building team over a number of years beginning with its 2001 IPO, but being on the team for a transaction of this significance certainly stands out as a highlight," he says.
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