AXA Private Equity, a major shareholder in Fives, has supported the engineering group’s acquisition of MAG Americas, a supplier of high-performance machinery.
MAG Americas is one of the leading global players in the production of complex machinery and composite processing. The acquisition will enable Fives to expand its product range and strengthen its presence in North America. It will also grow Fives’ existing customer base, most notably among major industrial groups in aerospace, mining, energy, and agriculture.
MAG Americas has approximately 1,000 employees, based in the US, France, Canada, China, and South Korea. In 2012, the company had a portfolio of more than 100 patents, and generated a turnover of USD400m, two-thirds of which was generated in North America.
AXA Private Equity first invested in Fives in October 2012, in order to support the management’s majority takeover of the company and provide the necessary resources to finance its ambitious development plan both in the medium and long term. The additional financing provided by AXA Private Equity for the acquisition comes less than six months after its initial investment in Fives, and forms part of the long term growth strategy.
Frédéric Sanchez, chairman of the executive board of Fives, says: “We are pleased about integrating into our offering the expertise and innovative know-how of MAG Americas. This acquisition will enable Fives to become a major player in the production of machinery and expand its skills, as well as benefit from a new growth platform. MAG America’s key markets provide great potential for development, helped in particular by the increasing demand for composite processing in aerospace.”
Dominique Gaillard, member of the executive board at AXA Private Equity, says: “We are delighted to support Fives through its new stage of development. The integration of MAG Americas will enable Fives to strengthen its exposure to a well-positioned North American industry and to seize new opportunities in emerging markets. As long term partners, we will continue to support the management of Fives in all new developments for markets with high growth potential.”
